Wednesday, August 14, 2024

Becoming a franchisor, expanding your business: answers to essential questions!

Becoming a franchisor, expanding your business: answers to essential questions!
The path to becoming a franchisor is paved with essential questions requiring precise and informed answers. Explore with us the fundamental concerns that every aspiring franchisor faces, as well as the solutions that lead to the success of their business.

Brand Protection


- Should You Trademark Your Brand?
Yes, it's imperative to trademark your brand before disclosing information to third parties, through appropriate authorities such as the international or European office.

- What Name to Choose?
Opt for an evocative but non-descriptive name, far from the ordinary, to reinforce the uniqueness of your brand.

- Should You Conduct Prior Art Searches?
Yes, these searches are crucial to check the availability of the chosen sign and prevent potential conflicts with other rights holders.

- When to Reserve the Domain Name?
First reserve the domain name, then proceed with trademark registration to secure your online presence.

- Should You Acquire Rights to the Logo?
Ensure to specify all details of the logo rights transfer, including mediums, territories, and adaptation rights.

- Should You Make a Verbal or Semi-Figurative Deposit?
To start, favor a semi-figurative deposit, combining the word with a stylized presentation, offering broader protection.

- Should You Make a Deposit in France or Europe? 
Initiate the deposit in France before considering European protection to minimize the risks of prior art.

- Should You Detail Your Activities?
Focus on your main activities to avoid prior art issues related to excessive claims.

Venturing into Franchising


- How to protect the franchise concept?
Although there is no equivalent deposit to trademark registration, carefully document the distinctive elements of your concept.

- Should you deposit the concept via the Soleau envelope?
Use the Soleau envelope to obtain a certain date on the differentiating elements of your concept.

- Is a pilot unit necessary?
Before embarking on franchise development, the franchisor must first demonstrate the success of their concept in at least one pilot unit.

- Can you speak freely to candidates or investors?
Sign confidentiality agreements and remain cautious in exchanges to protect your sensitive information.

- What is the Importance of the DIP?
The Pre-contractual Information Document is essential to inform potential franchisees and avoid possible legal sanctions.

- Should you share figures?
You can share your figures to demonstrate the viability of your business, but be cautious in business plan exchanges.

- What is a brand license?
A brand license allows the use of the company's brand image without transmission of the know-how associated with the franchise.