These are a few terms that a company has set for the franchise, quite a simple term, have a look: 1.) The Agreement term is of 5 years. 2.) The Agreement term is renewable. 3.) Royalty Fees are 6% 4.) As challenges faced by Samrat Reddy, it was difficult to have consistency across all the stores, so he came up with a solution that all franchisees should have a standard franchise agreement.