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Q: Why do some franchisors charge ongoing fees when others only ask for an initial one-off payment?

Apr 30 2007

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Answered by: Julie Waites Ask a question

All franchisors need to generate ongoing income and profit and do this either by selling product/services to their franchisees or by charging ongoing fees. A company that does neither of these should be looked at with great caution as their only remit is to “sell” franchises and this is not how a good franchise system is structured.

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