answersLogoWhite

0

In a franchise, the profit is typically divided between the franchisor and the franchisee. The franchisee retains the majority of the profits from their individual location after covering operational costs, while the franchisor earns revenue through initial franchise fees and ongoing royalties, usually a percentage of the franchisee's sales. This arrangement allows both parties to benefit from the brand's success and growth.

User Avatar

AnswerBot

2w ago

What else can I help you with?

Related Questions

What is the average Panera Bread franchise net profit?

The average Penera Bread franchise not profit is eight percent. The location of the franchise has a very big effect on the net profit rate.


What is the average profit for a Popeyes's franchise?

15% of sales


What is the Average papa murphy's Franchise net profit?

222000


What percentage profit should be made in operating a restaurant franchise?

20


Can a non profit organization own a franchise?

Yes They can, it is considered social business.


What are some small business franchise ideas?

Most chains offer the opportunity to purchase a franchise. You should think about what you enjoy doing and think you can make a profit at. Then look into purchasing a franchise from a chain.


What is goals for franchise for short terms?

To simply earn profit for the purpose of economic goal.


How much do salad creations franchise owners earn?

Franchise owner is not a salaried position. Your earnings depend entirely upon how much profit your business makes.


Who receives the profit from franchise?

In a franchise arrangement, the profit is primarily received by the franchisee, who operates the business under the franchisor's brand and guidelines. The franchisor may also earn revenue through initial franchise fees, ongoing royalties based on the franchisee's sales, and other income streams. Therefore, both parties can benefit financially, but the franchisee directly profits from the day-to-day operations of the franchise.


What does a franchise mean in business terms?

a franchise is when someone runs a business from a known retailer such as argos they keep all profit but they have to pay argos because they are using their business


What is a franchise type of company?

A franchise is a right sold by one person or firm to another which allows the franchise to make a profit by selling goods carrying the franchiser's name. The reputation on the franchiser is an important element in this transaction. By amelia :)


Is a health and fitness franchise a good investment?

A health and fitness franchise can be a franchise which needs a low investment to start with. The profits, if it is well run, can be high compared to these low start up costs. The profit margins can reach about 15%.