This final paper is based on the topic of franchising. Franchising is a way of entering entrepreneurship that is ideal for people who have no experience in starting and running their own business. In addition to the conceptual definition of the franchise, the advantages and disadvantages most often encountered by contracting parties are listed. The franchisor makes available to the franchisee know-how, as well as various courses, seminars and trainings that are necessary for the franchisee to be able to run his business as well as possible. One of the disadvantages of franchising is the fact that it is necessary to agree with the franchisor on numerous items, and ultimately the franchisor loses independence and the right to make decisions. And regardless of the fact that all elements of the business are predetermined, there is still a possibility that the franchise business model will not be sustainable. First of all, in order for business subject with the intention of franchising to enter into a franchise agreement, they must first evaluate their own business as well as the items within that business that can be offered to franchisees. After the evaluations have been carried out and the franchise package has been created, the franchisor can start looking for potential candidates. Through franchising, the franchisor acquires the possibility of expanding its business to several locations at relatively low costs, and at the same time making a profit from the fees that the franchisor is obliged to pay. In addition to everything mentioned so far, some of the examples of franchising in the Republic of Croatia will be discussed, and some better-known examples on the world market will be mentioned. Considering that franchise business is not so represented in the Republic of Croatia, various fairs, workshops and lectures have been organized by agencies such as the Croatian Association for Franchise Business and the European Franchise Federation to promote and raise public awareness about franchising.