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What types of Franchise are there?

 
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Job Franchises

These are also known as man-and-a-van franchises, because they often involve someone providing a service or products from a van - both to businesses, and/or consumers. Examples include drain repair, confectionary distribution, chip repair for vehicles.

This category can also include white-collar franchises where an individual provides a professional service - often from a home-based office. Examples include business consultancy, web-based directory sales, marketing service sales.

Often, the franchisee will be the only person running that local franchise, with many of the customers being provided by the franchisor, who may also handle invoicing and other administrative functions.
 

Management Franchises

The major difference from a job franchise is that the franchisee will deliver the service or products through a team of people, whom they will manage. Often such franchises will be premises-based - office or a retail unit. There are many different types of management franchise - ranging from overnight parcel delivery, to sign manufacture, to the provision of care services for the elderly.
 

Investment Franchises

If a franchise requires a high capital investment (such as a hotel, or major restaurant concept), then the franchise is often split such that one party (the investment franchisee) funds the project, and receives a return on their investment through (for example) rental income; and another franchisee with relevant operational skills, will run the business day-to-day. Of course, the investment franchisee could employ an operating manager, in which case they would enjoy a higher return on their capital.