Franchise reviewGeneral Legal Advice

Franchise agreement review: fees, territory and exit terms (not legal advice)

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  • If you do not respond within 3 days of delivery, the work is accepted automatically.
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The money is reserved when you pay and released only once you accept the work.

Franchise agreement review: fees, territory and exit terms (not legal advice)

Example result

Example for the Standard package

Contract review: a freelance designer's services agreement

One-page summary

You agree to design a logo, packaging for 6 products and a brand guide for a fixed fee of $9,500, paid in two parts. Overall the contract is workable, but four clauses shift most of the risk to you. The biggest issues are payment timing, unlimited revisions and the full transfer of rights before you are paid.

Risky clauses

ClauseWhat it saysWhy it mattersRisk
4.2 PaymentFinal 50% due "within 60 days of final acceptance"Acceptance has no deadline, so payment can be delayed indefinitelyHigh
5.1 Revisions"Contractor shall make revisions until the Client is satisfied"No limit on rounds; scope can grow without extra payHigh
7.1 IP transferAll rights pass to Client "upon creation"You lose rights to unused concepts even if not paidHigh
9.3 TerminationClient may terminate at any time with 7 days' noticeNo payment for work already done is mentionedMedium
11 Non-competeNo work for "any home goods company" for 12 monthsVery broad; could block a large part of your marketMedium

Missing protections

  • No late payment interest or right to pause work if invoices are overdue
  • No right to show the work in your portfolio
  • No cap on your liability (currently unlimited under clause 10)

Suggested wording

Clause 4.2: "The final payment is due within 15 days of delivery of final files. If the Client does not raise written objections within 10 days of delivery, the work is considered accepted."

Clause 5.1: "The fee includes up to three rounds of revisions per deliverable. Further revisions are billed at $65 per hour."

Clause 7.1: "Rights to the final approved designs pass to the Client upon full payment. Unused concepts remain the property of the Contractor."

New clause: "The Contractor may display the final work in a personal portfolio after the product launch."

Questions to the other side

  1. Who signs off final acceptance, and within what time?
  2. Can the non-compete be limited to direct competitors named in a list?

This review is not legal advice. Have a qualified lawyer in your country check it before you sign.

Client: Lena Park, freelance brand designer, signing as the contractor. Document: "Design Services Agreement" from Brightwell Home Goods (a fictional retailer), 14 pages. What matters to her: getting paid on time, keeping portfolio rights, limiting unpaid revisions.

The client and all details are made up.

About this service

A franchise agreement runs for years and is written by the franchisor, so its fees, territory and exit terms decide much of what a franchisee keeps. Send the agreement and, if you have it, the disclosure document or operations manual extract as PDF, Word files or photos, and we read them from the future franchisee's side: entry fee, royalties and marketing levies, territory protection, supply obligations, performance targets, renewal, transfer and termination. You get a plain-words picture of every obligation and cost and a list of questions for the franchisor and for existing franchisees.

What is included

  • What you getA Word and PDF report: all fees and payments in one table, a summary of territory, obligations and exit, a table of risky clauses and questions for the franchisor and existing franchisees. This is a general reading of the text, not legal or financial advice: have a franchise lawyer and an accountant check it before you sign or pay.
  • All fees in one tableEntry fee, royalties, levies, renewals
  • TerritoryExclusive or not, online sales, relocation
  • Your obligationsSupplies, targets, fit-out, training
  • Exit routesRenewal, sale, termination and non-compete
  • Questions to askFor the franchisor and existing franchisees

How it works

  1. 1
    UploadYou send the agreement and your priorities
  2. 2
    ReadingWe go through it clause by clause
  3. 3
    ReportYou get the Word and PDF report

What we need from you

The franchise agreement and any disclosure document as PDF with selectable text, Word or clear photos (up to 5 files), the brand and country, the location you plan, and how you will finance the start.

We will ask you:

  • Which brand and country is the franchise in?
  • Do you also have the disclosure document?
  • How long is the term and what happens at renewal?
  • What worries you most about this franchise?

Compare packages

PackagesBasicContract up to 10 pages$19StandardUp to 25 pages with suggested wording$39PremiumUp to 50 pages with a questions letter$69
Deadline1 day2 days3 days
Revisions123
Pagesup to 10up to 25up to 50 in total
Documents11up to 2
Suggested wordingNoYesYes
Questions letter to the franchisorNoNoYes
Order BasicOrder StandardOrder Premium

Payment protection

You pay when you order, but the money is released only for accepted work.

  • Fixed priceThe package price does not change after you pay.
  • The money is reservedWhen you pay, the amount is only reserved. It is released to the service once you accept the work.
  • Checked before deliveryEvery result goes through a quality check before it reaches you, and you see it on the order page before accepting it.
  • Free revisionsAsk for changes within your brief as many times as the package allows.
  • Acceptance after 3 daysIf within 3 days of delivery you neither accept the work nor ask for changes, it is accepted automatically. If you write in the order chat after delivery, the order waits; once we answer, we may start the 3 days again and will say so in the chat.
  • Redo or a full refundIf the result does not match your brief and the revisions did not fix it, or the work takes more than twice its deadline, write in the order chat: we will redo the work or refund the payment in full.
How it works →

Questions and answers

Is this legal advice?

No. It is a general reading of the documents, and not financial advice either. Franchise rules differ by country, so have a franchise lawyer and an accountant check them.

Will you tell me if the franchise is profitable?

No. We do not check the brand's results or forecast your profit. We put every cost and obligation from the documents in one place so you can test them with your own numbers.

The documents are over 50 pages. What should I send?

Premium covers up to 50 pages in total. Send the agreement first, and from the disclosure document the parts on fees, territory, litigation and franchisee turnover.

My copy is a scan. Will that work?

A scanned PDF without a text layer is not accepted. Send clear photos of every page instead, up to 5 files in total.

Packages
Order · $39· 2 days