Joint Venture Agreement
Partnering with another business? Define contributions, control, profit sharing, IP and exit in a joint venture agreement built for your project.
Documentation
Franchise Agreement Drafting
Grow your brand or buy into one with a franchise agreement that clearly sets out fees, royalty, territory, brand standards and exit.
- 3–5 working days
- Franchisor or franchisee side
- Brand & IP protection
- Two revision rounds
What is a franchise agreement?
A franchise agreement is the contract between a franchisor – the owner of a brand and business system – and a franchisee, who runs an outlet or territory using that brand and system. It lets a brand grow without opening every outlet itself, and lets the franchisee start with a proven model. Because the franchisee invests their own money and the franchisor's brand is on the line, the franchise agreement has to balance control, support, fees and exit fairly.
India has no specific franchise law. The relationship is governed by contract, trademark, competition and tax laws, so the agreement itself must cover everything the two sides need.
Key clauses in a franchise agreement
| Clause | What it covers |
|---|---|
| Grant and territory | The outlet or area, and whether it is exclusive |
| Term and renewal | How long the franchise runs, renewal conditions and fees |
| Fees | The upfront franchise fee, ongoing royalty, marketing fund contribution and other charges |
| Brand and IP | The licence to use the trademark, recipes, software or know-how, and brand standards |
| Training and support | Initial training, launch support, field visits and operations manuals |
| Supplies | Approved suppliers, mandatory purchases and pricing |
| Reporting and audit | Sales reports, access to accounts and inspection rights |
| Restrictions | No competing business during the term, and confidentiality |
| Termination | Grounds for termination, notice and the chance to fix breaches |
| After termination | De-branding, return of manuals, customer data and any post-term restrictions |
| Disputes | Arbitration, the seat of arbitration and governing law |
For franchisors – before you franchise
- Register your trademark in the relevant classes – you cannot safely license a brand you do not own on paper. See trademark registration.
- Document your system in an operations manual, so standards can be enforced.
- Know your unit economics – franchisees will ask, and misleading earnings claims cause disputes.
- Plan territories so outlets do not cannibalise each other.
For franchisees – before you sign
- Check that the franchisor owns the registered trademark you will trade under.
- Speak to existing franchisees about real sales, costs and support.
- Understand all fees, including marketing contributions and mandatory purchases.
- Look closely at territory protection, renewal terms and exit costs.
- Have the premises lease reviewed alongside the franchise agreement – see commercial lease agreement.
Tax points
Franchise fees and royalties are taxable services under GST, generally at 18%, and the franchisee usually deducts TDS on them. A franchisor needs GST registration, and each franchisee typically needs its own registrations and licences – such as FSSAI for food outlets.
Our service
Our lawyers draft franchise agreements for franchisors building a network, and review agreements for franchisees before they invest. For simpler brand-use arrangements without a full business system, a licensing agreement may be enough.
Documents required for Franchise Agreement
After you purchase, log in to My Account → My Services and upload each document below. Scanned copies or clear phone photos (PDF, JPG or PNG) are fine. Your files are stored privately and seen only by your assigned expert.
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Incorporation / registration documents of both parties Certificate of incorporation, partnership deed or GST certificate Required
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ID proof of signatories PAN and Aadhaar of authorised signatories Required
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Trademark registration of the brand Franchisor’s trademark certificate or application If applicable
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Commercial terms Franchise fee, royalty, territory, term, renewal and investment Required
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Operations manual or brand guidelines If available If applicable
Franchise Agreement process with Nevo Legal
Consultation
Provide basic details about your franchise business.
Requirement Analysis
Our legal team understands your business structure and specific needs.
Drafting
A comprehensive Franchisee Agreement is drafted to reflect your requirements.
Review & Revisions
We offer revisions to ensure the agreement aligns with your expectations.
Delivery
Get your legally sound agreement ready for signing
What you get
- Professionally drafted Franchisee Agreement
- Legal consultation and review
- Revisions based on feedback
- Final agreement in a secure digital format
Franchise Agreement – frequently asked questions
Who needs a Franchisee Agreement?
Both franchisors and franchisees require a Franchisee Agreement to formalize their partnership.
Is a Franchisee Agreement mandatory?
Yes, it is a legally required document to establish a franchising relationship.
Can the agreement be customized?
Absolutely! Our agreements are fully tailored to suit your specific business needs.
How long does it take to draft a Franchisee Agreement?
Typically, we deliver within 5-7 working days, depending on the complexity of the agreement.
Is my information secure?
Yes, we ensure complete confidentiality and secure handling of your data.
Is franchising regulated by a specific law in India?
No. There is no separate franchise law, so the relationship is governed by the agreement together with contract, trademark, competition and tax laws.
Is GST payable on franchise fees and royalties?
Yes. Franchise fees and royalties are taxable services, generally at 18%.
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