What are the two main kinds of franchises?

Based on the relations between a franchisor and a franchisee, two main sorts of franchises exist:

• Direct-Unit Franchising. It's the most convenient kind of cooperation among the buyer and seller of a franchise. A franchisee acquires the privilege of employing the brand name and patent technologies directly from a franchisor, without involving intermediaries. In this case, a franchisor provides a monitoring of the market in this or that region and assesses the prospects for the developing of its business here. Therefore, a franchisee gains significant benefits and support from a company owner.
• Master Franchise. It is a franchising system in which the brand owner, i.e. master franchisor, grants the other party (the buyer) the entitlement to hire new franchisees in a certain territory. The master franchise is most often used to expand the net in other countries. But there are cases when it is also sold within the country to a certain territory.