Joel LibavaThere’s really only one way (legally) to get access to the super-secret system that a typical franchisor has invested hundreds of thousands of dollars and numerous hours into.
One way;
Pay The Franchise Fee.
It’s interesting; just about every time I start discussing “The Franchise Fee” in one of my franchise presentations, my specially-tuned ears pick up someone doing some serious muttering under their breath…
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The Muttering;
“That’s where those franchise companies make all of their money. It’s crazy. Paying $30,000 to a franchise company….” Blah Blah Blah.
Actually, there’s normally not a lot of profit made from the franchise fees. It’s just one of the many myths that plague franchising.
My friend, Charles Internicola, a franchise attorney in New York, just wrote a post that explains exactly what the Franchise Fee covers. As a prospective franchise owner, it’s crucial for you to know what you’re paying for, and in the case of the Franchise fee, where your money is going.
About the Author
Joel Libava is The Franchise King® — an independent franchise advisor with 25+ years in the industry, two published books on franchising, and his writing has been featured in The New York Times, Forbes, CNBC, Entrepreneur® Magazine and others. In addition, he wrote exclusively for the U.S. Small Business Administration blog for eight years. He doesn't sell franchises. Instead, Joel helps you figure out if franchise ownership is actually right for you — and if it is, teaches you his powerful, proven-to-work franchise research techniques, so you can make a smart, informed decision on a franchise to own and be your own boss.
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