The definition of a franchise is permission granted by the government or by a company to take a certain action, or a franchise is the entity which has such authorization.(noun)
Franchise is defined as to grant authorization to someone to perform a service or operate a business.(verb)
When a company grants permission for someone to open a branch of their company, this is an example of to franchise.
See franchise in Webster's New World College Dictionary
Origin: ME < OFr < franc, free: see frank
See franchise in American Heritage Dictionary 4
Origin: Middle English fraunchise
Origin: , from Old French franchise
Origin: , from franche
Origin: , feminine of franc, free, exempt; see frank1.
Learn more about franchise