Definition: As a business model in the practice of real estate, a franchise is a business structure with a parent and franchised smaller subsidiary operations. These are still independent companies, usually locally owned.
However, the franchisees receive support, training, marketing help and power, and training from the franchise parent. The franchisees operate with standards and rules set out by the parent and contribute a portion of their revenues for the benefits of the franchise.
Examples:
- Century 21 Real Estate
- Coldwell Banker Real Estate
- REMAX
