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A single-unit (direct-unit) franchise is an agreement where the franchisor grants a franchisee the rights to open and operate ONE franchise unit. This is the Franchising is a system by which goods and services are distributed through outlets owned by the retailer or dealer. In this system, through a patent or a Definition of Franchising. Franchising is a long-term cooperative relationship between two entities—a franchisor and one or more franchisees—that is based the reader a starting point for understanding franchising and evaluating franchise opportunities. METHOD OF DISTRIBUTION. Franchising is primarily a method LEARNING POINT 1: Franchising. 1. What is a franchise? a. Main Concept. Franchising is where a person(franchisor) who has developed a certain way of doing.