A franchise is a business, like Mcdonald's for example, in which a 'franchisor' sells the rights to use their company name, trademarks, and business model to independent operators called 'franchisees.'
This is typically in return for a one-off franchise fee, plus an ongoing percentage of sales revenue and other fees. Franchisees have to run their businesses according to franchise agreements, however with an ordinary business, the owner has complete freedom to operate their business as they wish.