Dealership Certificate: What is a Dealership Certificate? Dealership certificate is often seen in franchising, where one party grants rights or license to another party to sell its goods or services. In other words, a dealership certificate grants exclusive rights to third-party entities to use the intellectual property and the branding to sell products or services of the business.
Students can find more about certificates, explore the types used for academic purposes, professional purposes and more.
Dealership Certificate – Franchising
In simple terms, franchising is a business model where one party (franchisor), usually a big brand, grants the license to sell its products or services through another party (franchisee). One of the most well-known examples of franchising in the modern world is McDonald’s. Other businesses that follow the franchising model include Dominos, Subway, KFC, Pizza Hut, Taco Bell, etc. Usually, a contractual agreement takes place between the franchisee and the franchisor.
What is the Importance of a Dealership Certificate?
As mentioned above, a dealership certificate is an important document and the franchisee may need to display the certificate to its patrons to showcase its authenticity. In this article, we shall explore the templates and samples of a Dealership Certificate. Furthermore, we shall explore the general guidelines and other tips when creating a Dealership Certificate.
Dealership Certificate Guidelines
Following are the general guidelines when drafting a dealership certificate.
- The name of the franchisor must be prominently displayed on the certificate
- The certificate must also have the title of “Certificate of Dealership” / “Dealership Certificate”
- The name of the individual as well as his business’s name must be mentioned (franchisee)
- An official seal followed by an authorized signatory must be included at the bottom of the certificate. This will showcase the authenticity of the certificate.
- Design-wise, the certificate can be customized to match the theme of the franchise.
- Lastly, proofread the certificate for grammatical or factual errors
Dealership Certificate Template
Following is a dealership certificate template that is based on the above-mentioned guidelines:
| (NAME OF FRANCHISER) CERTIFICATE OF DEALERSHIP This is to certify that (NAME OF THE PROPRIETOR) of (NAME OF THE FRANCHISEE) is an AUTHORIZED DEALER of (NAME OF FRANCHISER). Given this (DATE) Authorized Signatory and Seal |
Dealership Certificate Sample
Following is a sample for Dealership Certificate based on the above template:
| SAUSAGE FEST Inc. CERTIFICATE OF DEALERSHIP This is to certify that JOHN DOE Of Salt and Spice Foods is an AUTHORIZED DEALER of SAUSAGE FEST Inc. Given this March 2021 Authorized Signatory Sally Jane Sign |
FAQ’s on Dealership Certificate
Question 1.
What is a Dealership Certificate?
Answer:
A dealership certificate is a legal document where one party grants rights or license to another party to sell its goods or services.
Question 2.
Where are Dealership Certificates used?
Answer:
Dealership certificates are exclusively seen in franchising. In simple terms, franchising is a business model where the franchisor grants the license to sell its products or services through a franchisee.
Question 3.
What are the contents of a Dealership Certificate?
Answer:
A dealership certificate contains the following information – the name and details of the franchisor, name and details of the franchisee, authorized signatory and the date of enforcement.