A franchise owner is an individual or business that purchases the rights to operate a branch of an established brand or company. This arrangement allows the franchise owner to use the brand's name, products, and business model while adhering to specific guidelines set by the parent company, known as the franchisor. Franchise owners typically pay an initial fee and ongoing royalties to the franchisor in exchange for support, training, and marketing assistance. This business model can provide a lower-risk opportunity for entrepreneurs, as they benefit from the recognition and reputation of an established brand, such as McDonald's or Subway.