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If you're involved in the management of properties, public utilities, or any operation where a company needs to manage another's resources, you'll likely need a concession agreement. This guide will explain what concession agreements are, their purposes, and how they can be managed effectively using a concession agreement template.
A concession agreement is a legal document that grants a company the right to operate a specific business within the jurisdiction of another. This often involves public resources such as land, infrastructure, or services. The agreement outlines the responsibilities, rights, and obligations of both parties involved.
The primary purpose of a concession agreement is to formalize the relationship between the owner of the resource (often the government or a public entity) and the operator (the concessionaire). This contract ensures that both parties understand their roles and responsibilities, creating a clear framework for operation and management.
Concession agreements are typically managed by legal, commercial, and project management teams within an organization. These teams ensure that the terms of the agreement are adhered to and that any issues are addressed promptly. For large-scale operations, a dedicated contract management team might be in place to handle these agreements.
Concession agreements are used in various industries and scenarios, including:
A comprehensive concession agreement template should cover the following:
Concession agreement templates are managed through a structured contract management process. This involves:
Managing concession agreements can present several challenges, such as:
Juro’s AI-native contract lifecycle management platform can streamline the entire lifecycle of concession agreements. Here's how:
Juro’s AI-native contract automation platform empowers all teams to create, agree, execute and manage contracts up to 10x faster than traditional tools. To find out more, hit the button below to book your personalized demo.
A concession agreement template is a ready-made contract for situations where an owner, often a public body, lets a business operate on its land or facilities. It records what the operator, known as the concessionaire, can run there and the fees it pays in return. It also sets the length of the concession and when either side can end it.
Usually, yes, though it can be short. Without one, there's nothing in writing about the fee or about who pays if a customer is injured at your stall, and either point can turn into a dispute on the day. A one-page agreement signed in advance protects both the organizer and the stallholder.
A franchise agreement lets a business use another company's brand and way of operating, usually in return for ongoing royalties. A concession agreement gives an operator the right to run a business on someone else's property or public asset, so it focuses more on access to the site and what the operator must maintain there.
Check whether you'll pay a fixed fee or a share of revenue, and if it's a share, exactly which sales count toward it. Many disputes come from a minimum guaranteed payment that stays due even when trade falls, for example during building work the owner controls. Ask for the minimum to reduce or pause in those situations.
It works well as a starting point, but concessions vary a lot, so adapt the scope and fee terms to the specific site and operation. Public bodies often have their own procurement rules and required clauses too. For specific legal advice on your contract templates, consult an attorney.
Create the concession template in Juro once, then generate each agreement from it, with the commercial team adding the site and fee details for every operator. A change to your standard terms only needs making in that one template, and every new agreement uses it from then on. Signed concessions are stored in one place, so you can search them for renewal dates and minimum payment terms.
Yes. Juro uses an AI drafting feature called Operator to build new templates from what it learns in the contracts you already have, including how you draft and where you usually land on terms like revenue share and liability. Your legal team reviews and approves the first draft before anyone sends it, so the template fits your risk appetite.
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