<p> Franchises</p><p>Top Ten Franchise Industries</p><p> According to the International Franchise Association, these are the top 10 franchise industries.</p><p>1. Quick Service Restaurants (Fast Food) 2. Maintenance 3. Personal Care 4. Children’s Businesses 5. Other Services 6. Maintenance 7. Retail 8. Business Services 9. Hotels and Motels (Lodging) 10.Automotive Franchising</p><p> One of the fastest growing forms of business ownership  A person who buys a franchise is the franchisee  The seller of the franchise is the franchisor  Franchise operations can be found in nearly all aspects of retail sales  25% of Canadian franchises are in the restaurant sector</p><p>Sample Franchises</p><p>Product/Service Category Name Of Business McDonalds Tim Horton's Fast Food Harvey's Pizza Hut Midas Auto Repair Speedy Mister Transmission The Gap Clothing Mark's Work Warehouse 7-Eleven Convenience Stores Macs Franchise Agreement</p><p> The business conditions between the franchiser and the franchisee are outlined by a franchise agreement. The franchisee is required to:  Invest a minimum amount of capital  Buy a minimum inventory of goods and equipment  Follow a company manual of procedures  Pay a fee for national advertising  Pay a franchisee or management fee, based on percentage of sales  Often the goods and supplies must be purchased from the franchiser</p><p>Advantages  Franchise receives many benefits  Significant amount of capital ensures that an owner will work hard  Fewer than 7% of franchises suffer from bankruptcy in their first five years of operation</p><p>Disadvantages  Franchise usually must pay a monthly or annual fee to the franchisor which reduces profit  Franchisee must strictly follow rules  Can not sell other goods  Must use same advertisements  Do not receive all profits</p>