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franchise
Franchise Terms: Explained
An individual who purchases the right to operate a business under the Advance Computer Education Center name and system.
Advance Computer Education Center allows individuals to start and run a business using its trademarks, products and processes, usually for a fee.
The initial fee paid to a franchisor to become a franchisee, outlined in Item 5 of the Franchise Disclosure Document (FDD).
All franchisors are required by the Federal Trade Commission to provide this legal document to prospective franchisees.
The written contract, included in the FDD, which outlines the responsibilities of both the franchisor and the franchisee.
This spells out the length of time that your franchise agreement is valid--usually anywhere from five to 20 years. At the end of your term, if you are a franchisee in good standing, most franchisors will allow you to renew your agreement for a percentage of the then-current franchise fee.
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