By signing this agreement, both parties acknowledge the understanding and approval of all the conditions mentioned above. PandaTip: Use the table in the template below to describe any promotional or promotional assets made available to the franchisee. If you`re creating a franchise agreement, it`s also important to include a statement or termination clause. Normally, such a clause contains statements for the franchisor or franchisee: of course, there are other conditions that you can include as you wish in your model franchise agreement. For example, you might want to include the financial and legal consequences of the franchisee if they have just abandoned the franchise. The franchise agreement must also indicate the amount of royalty to be paid by the franchisee. This may include an initial royalty and on-the-go license payments. .