Royalties

How does a franchisor make money?
How Does a Franchisor Make Money | Franchising Specialist

How does a franchisor make money?

Most people assume that making money from franchising a business comes from the franchise fees. However, this is not the case, in fact usually the franchise fees are a loss leader. The money comes from royalties, the ongoing fees that the franchisees pay to the franchisor on a regular basis as either a flat rate…

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