Motiva Business Law

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(813) 214-8555

Tampa,  Florida


(630) 517-5529

Oak Brook, Illinois

Can You Own More Than One Franchise?

People who buy into franchises often buy more than one so they can have more businesses and make more money. Franchise buyers are often entrepreneurially-minded and want to grow their book of business (meaning their book of franchises). The nice thing about franchising is that all the rules, systems, and recipes (if food related) are handed down to the franchisee. All the franchisee has to do is follow those. Once the franchisee has one in place and that franchise is successful, it’s relatively easy to replicate this once the franchisee has the hang of running the business.

Can you own more than one franchise?

Generally, there are no laws that prohibit owning more than one franchise. However, it depends on the franchise agreement. Franchise agreements frequently have restrictions on what other type of business a franchisee can own. Sometimes those restrictions are way too broad or overly restrictive, which could mean that you would be violating the franchise agreement. You would want to negotiate those terms to be in line with your future goals.

Other possible terms in the franchise agreement that could affect your ability to open more than one franchise are geographic restrictions. Sometimes franchisors prohibit the franchisee from doing business in certain territories, so you want to make sure those terms are in line with your future goals.

Need help with a franchise review? Call today at (630) 517-5529 or fill out our inquiry form so we can contact you.

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