YiZhi Franchise has the answer for you:

When an enterprise franchises others, it generally refers to a business model that allows franchisees to use its name, trademark and other elements. According to my country's "Commercial Franchise Management Regulations", the term "commercial franchising" as mentioned in these regulations refers to an enterprise that owns registered trademarks, corporate logos, patents and other business resources, and licenses its business resources to other operators in the form of a contract. The franchisor carries out business activities under a unified business model in accordance with the contract.

Legal Basis

Article 3 of the "Commercial Franchise Management Regulations"

The term "commercial franchise" (hereinafter referred to as "franchise") as mentioned in these Regulations refers to the ownership of An enterprise that registers trademarks, corporate logos, patents, proprietary technologies and other business resources (hereinafter referred to as the franchisor) licenses its business resources to other operators (hereinafter referred to as the franchisee) in the form of a contract. The franchisee shall follow the contract It is agreed to carry out operations under a unified business model and pay franchise fees to the franchisor.

Other units and individuals other than enterprises may not engage in franchise activities as franchisors.