• Franchise Agreement
• Joint Venture Agreement
• Memorandum of Understanding

1.Franchise Agreement

A franchise agreement is an agreement wherein the franchisor agrees to lend the trade name or business system to another person or entity (the franchisee). The contract will define the basis of the arrangement between the two parties, specifying the consideration to be paid by the franchisee (partial payment is often in the form of royalties for the use of the franchisor’s trademark), how the brand name can be used, the length of the arrangement, and clauses dealing with penal provisions, ranging from fines and compensation to cancellation of the franchise.

Advice on Requirements

We’ll help you find out what you need covered

Document Drafting

The first draft will be shared with you in four days

Iterations

We do two rounds of iterations at no extra cost

Advantages of a Franchise Agreement

Sets Standards

A franchise agreement allows the franchisor to set a standard of quality with regard to the various aspects of a business before signing on the franchisee.

Brand Control

Through such an agreement, the franchisor can specify the way in which the franchisee uses the brand, including the penalties in case of violation of the rules.

2. Joint Venture Agreement

A joint venture (JV) agreement is entered into by a group of persons or companies to do business together or to collaborate on a particular project without losing their individual legal identities. Such an agreement is legally binding and clearly lays down the areas of cooperation and divergence, and makes provisions for profit-sharing and operations. Usually, before entering into such a formal agreement, the parties sign a Memorandum of Understanding (MoU). 

Advice on Requirements

We’ll help you find out what you need covered

Document Drafting

The first draft will be shared with you in four days

Iterations

We do two rounds of iterations at no extra cost 

Advantages of a Joint Venture Agreement

Low Risk

A JV agreement allows you to do business with another party, while continuing to operate with your individual legal identity. Thus it is considered a low-risk option for sectors in which 100% FDI is allowed. JV agreements have been behind some of the biggest success stories in Indian business, such as Hero Honda, which was a JV between the Japanese Honda and the Indian Hero Motor Corp.

Access New Markets

A JV Agreement allows you to access newer markets and resources, and ensures the sharing of risk, without any of the disadvantages of operating as a single entity.

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