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How do franchisees make their money_

Franchisees is an effective and efficient way of establishing and consolidating a business where the franchisor does not lose hold or equity in a business venture while also spreading the business and making healthy returns.<br><br>Read More - https://cutt.ly/h0vRY0P

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How do franchisees make their money_

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  1. How do franchisees make their money? Read More :https://thefranchiseuniverse.com/how-do-franchisees-make-their-money/

  2. Franchising is an effective and efficient way of establishing and consolidating a business where the franchisor does not lose his/her/their hold or equity in a business venture while also spreading the business and making healthy returns.

  3. Fixed one-time fee Where the franchise is of a fixed duration, and both the parties are sure about being able to sustain things, the right to use one’s logo, brand-name, and product know-how, goes for a fixed one-time lump-sum fee.

  4. Fixed one-time fee broken down into monthly instalments While the above may sound the most ideal, it may not work for quite a few reasons including the fact that without an enterprise, the franchisee may not be tempted to part with large sums of money, irrespective of the worth and value of a franchise brand.

  5. Fixed + variable While the above 2 modes of payments to the franchisor may sound plausible for fixed-duration contracts, a closer look would clearly show the implied chinks, one of which is the fact that most franchise contracts are never time-specific and are kept open-ended so that parties continue as long as the gravy train runs its course.

  6. Royalty as % of business + a guarantee Besides the above which does sound plausible, there could be another arrangement. Read more - https://thefranchiseuniverse.com/how-do-franchisees-make-their-money/

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