Hi, my name is Mark and we 're gonna look at what 's meant by a franchise model.

A franchise is a business arrangement, agreement, between an existing successful business organization with their known name brand

and you as a potential entrepreneur who wants to use their method system and incorporate it in your, as your own business.

For this you have to pay a fee.

And also you have to run your business by the guidelines of the franchise holder.

It's a very strict agreement because obviously there's a method, a successful method of doing things,

and you as an entrepreneur who wants to buy into this has to agree, fundamentally, with their system and their operation.

This is what is really known as a model, and that is how to do something from A to Z.

What the steps are, the methods are, how you engage the business, how you engage with the customer, how you interact, what services you offer, how you offer it.

It's the philosophy as the franchise holder you 're buying into.

And that's obviously, it's a very well known, established organization and it's successful.

That is the reason why you are buying into it.

So these are the steps that you must take and follow in agreement with the franchise holder.

And that is what is known as the franchise model.

So, all the best.