Escrow franchising means that in business cooperation, the franchisee entrusts its secret assets such as brands, patents and technologies to other enterprises or individuals for management, and the custodian pays management fees or provides profit sharing to the franchisee. Management joining is common in brand, retail, catering and other fields.

Entrustment helps to improve the operational efficiency of enterprises, reduce risks and costs, and accelerate the expansion of brands in the market. Because franchisees can authorize their best resources to custodians, custodians can also get greater benefits. This kind of cooperation is also called "win-win cooperation".

But at the same time, there are also some risks, such as franchisees' wrong choice of custodians, and custodians' inability to manage brand rights and interests reasonably, which may easily lead to the breakdown of cooperative relations and even adversely affect brand reputation. Therefore, before hosting the franchise, both the franchisee and the custodian should conduct full investigation and due diligence to ensure the continuity and stability of cooperation.