Have you ever thought to yourself "I wish I owned a McDonalds, then I'd never be hungry and I'd be rich". Well, the vehicle to owning a McDonalds, or any other similar large fast food restaurant is to own a franchise.  A franchise is a right granted to an individual to market and sell a company's products within a certain territory or location.  Every McDonald's restaurant has their own franchise owner and the McDonald's corporation oversees it all and takes a cut from each franchise.

The basic steps to starting a franchise are:

Select the industry you want to be in (restaurant, consuting firm, etc.)

Request a franchise application from the corporation

Do your research - talk to other franchise owners in the area you're interested in.  See how much they make, what they linke, and what challenges they have (if any).  Evaluate the cometition and the market.

Secure financing for the franchise.  Many corporations finance thier franchises, giving you a loan to pay off over time from the profits of the franchise. 

Sign the papers (you should consult a franchise lawyer before doing this) and you are on your way.

There are several advantages to owning a franchise.  The biggest advantage is that there is a higher likelihood of success based on the proven business formula in place.  Everybody knows (Taco Bell, McDonald's, etc.) and everybody likes their food.The marketing engine is already established and all of the branding is done.  The other major advantage is that bankers usually consider franchises lower risk and are therefore more willing to loan you the money to start one.

The main disadvantage of owning a franchise is that you must follow the rules of the franchise to the letter.  For example, no experimenting with the hot pepper, chile burger at McDonalds).  Any deviation from the charter and you will probably lose your franchise license.