Franchise pilot
A unit or outlet operated directly by the franchisor to test and validate the concept before franchising it. It serves as a laboratory to confirm replicability, processes, and profitability under real market conditions.
In practice
Case law and the French Franchise Federation’s code of ethics recommend having tested at least two pilot units, in different geographic contexts, for at least two years. A single pilot in a location favourable to the founder does not demonstrate replicability. Pilot data — average transaction value, operating margin, recruitment cost, return on investment timeline — must be communicated to candidates in the DIP.