A franchise business model allows individuals or companies (franchisees) to operate a business using the brand, products, and systems of an established company (franchisor). In this arrangement, franchisees pay an initial fee and ongoing royalties in exchange for support, training, and the right to use the franchisor's trademark and business methods. This model is popular in various industries, including fast food, retail, and hospitality. Successful franchises, like McDonald's and Subway, benefit from brand recognition and a proven business strategy, while franchisees gain access to a ready-made business framework, reducing the risks associated with starting a new venture.