Association of the Filipino Franchisers Inc.

prime trade organization



Franchise 101
Intellectual Property

Legitimate Franchise Company

10 identifications of a Legitimate Franchise Company

  1. Legal papers and permits from the government such as DTI for Sole Proprietor/SEC for Partnership and Corporation, updated Mayor’s Permit, local permits (Sanitary, Building, Occupancy, et.al.), BIR Registration, Certification from the governing Government Agency of the business operations (BFAD and DOH for food, TESDA, DEPED, DSWD and CHED for school and training) and Registration from the Intellectual Property Office are consistent and registered to the company name and to its authorized officer.
  2. Engaging partnership between franchiser and franchisee transpires.
  3. Good business operation support like logistics and marketing management is extended to the franchisee.
  4. Imperative details of the franchise agreement/contract are readily available for review.
  5. Two or more owned outlets and at least two franchise outlets are gleaned from the company record.
  6. Important public documents like SEC Registration, Articles of Incorporation and Audited Financial Statements can easily be retrieved.
  7. Membership for the Association of Filipino Franchisers Inc. (AFFI) signifies legitimacy of the brand.
  8. Accredited list of suppliers are patronized to ensure the quality of the products of the franchise brand.
  9. Two or more years of operating under the same company name weeds out the fly by night businesses from the legitimate ones.
  10. Exact office location is used for business transactions.