Franchise models are business structures that allow individuals or companies to operate a business using the branding, products, and systems of an established company, known as the franchisor. In this arrangement, the franchisee pays an initial fee and ongoing royalties in exchange for support, training, and the right to use the franchisor's trademark. This model is popular in various industries, including fast food, retail, and hospitality. There are different types of franchise models, such as product distribution, where franchisees sell products under the franchisor's brand, and business format franchising, which provides a complete system for running the business. Each model offers unique benefits and challenges, catering to different entrepreneurial goals and market needs.