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Business Plans that Work: A Guide for Small Business 2/E, 2nd Edition by Jeffry Timmons, Stephen Spinelli, Andrew Zacharakis

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6Ibid.

7The industry is typically divided into business format and traditional franchisers. Traditional franchisers, like gas stations, allow franchisees to resell or distribute a product along with its registered trademark. Business format franchisers, like fast-food restaurants, offer their franchisees a format for running the business and operational support. Business format franchisers have become by far the dominant variety, representing 76 percent of total franchise revenues in 2007.

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