Within the European Union, the granting of concessions by public bodies is governed by a regulation. Work concessions have been subject to public procurement rules for some time, as the European Parliament and European Council`s 2004/18/EC Directive on Public Works Concession Contracts is applied and cross-border concessions on services are governed by the principles of the Treaty on the Functioning of the European Union. However, on February 26, 2014, the European Parliament and the European Council have adopted a new 2014/23/EU directive on the awarding of concession contracts[4], which required EU Member States to implement national legislation for the awarding of concession contracts of more than EUR 5,186,000, which was awarded on or after 18 April 2016. Here is one of the meanings of “concession” in the Longman dictionary: in the private sector, the dealer – the dealer – usually pays either a fixed amount or a percentage of the income to the owner of the business from which he operates. [2] Examples of concessions within another company are concession stands in sports facilities and cinemas, as well as concessions in department stores operated by other retailers. Short-term concessions can be granted as advertising space for periods as short as one day. The awarding of franchise contracts for passenger services is intended to improve the efficiency of transportation services. The measures taken in the UK are aimed at encouraging operators to invest in improving services and facilities available to passengers. “Our commitment to long-term franchises, which offer an optimized investment programme for rail operators, will facilitate these investments,” says the Railway Reform Book published by the UK authorities in March 2012.

The document promotes measures to reform the franchise system. It includes measures to introduce more flexible franchise specifications, allowing operators to meet new requirements while protecting the interests of taxpayers. In addition to other tax measures, mechanisms and facilities, the reform encourages longer deductibles, which encourage more incentives for train operators to invest, more flexibility in service configuration, but because the government continues to define a basic level of service, results-based requirements, such as customer satisfaction and performance, to ensure that the interests of train operators are better suited to the interests of passengers. To this end, Transport for London (TfL) extended the contract with Serco Docklands for the operation of Docklands Light Railway (DLR) by 18 months earlier this year. The value of the contract renewal until September 2014 is GBP 100 million (119 million euros), with the company responsible for the provision of services, infrastructure and vehicle maintenance. Indeed, the extension of the contract made by TfL is the result of the success of Serco Docklands during the Olympic Games, where it carried 7.2 million passengers (an increase of more than 100% in the number of passengers). The DLR is one of the first tram systems in the UK to be equipped with the most modern automatic control systems in the world. It is 27 km long and has 34 stations with 70 tram vehicles and, according to Serco, the company`s development strategy includes other system development projects. The Federal Trade Commission regulates the sale of the franchise, and you must follow certain steps. You must submit to the FTC a franchise file disclosure document containing information about the company`s background, history and financial situation. You must also abide by your state`s franchise laws. Consider building a team of franchisees.