If you're looking into franchising, I'm sure fees and costs are one of the more important aspects you're looking at. However, it's important to not look at fees as a negative expense. Fees are what keep the brand growing and able to provide more support that aids in your success. For instance, let's say Brand A has a 6% royalty and 2% brand fund, and Brand B has a 7% royalty and a 1% brand fund. While it is true that both brands require an 8% fee, Brand A is allocating more towards a brand-wide marketing fund. Now, that isn't necessarily a good or bad thing, it's just a fact of the matter. What else you get with each brand should also be a major consideration. With that being said, it's important to know how to compare costs and fees between potential brands you're considering.
If you're looking into franchising, I'm sure fees and costs are one of the more important aspects you're looking at. However, it's important to not look at fees as a negative expense. Fees are what keep the brand growing and able to provide more support that aids in your success. For instance, let's say Brand A has a 6% royalty and 2% brand fund, and Brand B has a 7% royalty and a 1% brand fund. While it is true that both brands require an 8% fee, Brand A is allocating more towards a brand-wide marketing fund. Now, that isn't necessarily a good or bad thing, it's just a fact of the matter. What else you get with each brand should also be a major consideration. With that being said, it's important to know how to compare costs and fees between potential brands you're considering.