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The Franchisor makes a profit form the initial franchise fee paid by the franchisee to secure the franchise. Continuing profit is then made from ongoing royalty fees which are based on turnover of the franchised outlet on an annual basis. Profit is also made from the supply of goods or services to the franchisee from bulk buying discounts gained by the franchisor when central buying contracts are in place. The franchisee gains continuity of supply and consistency of quality of goods and still benefits from a lower price generally than they could negotiate individually.
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What is a franchisor?
A franchisor is a company that sells the right to use its name and/or operating systems to independent business owners. One of the best known franchisors is McDonald's.
What is the seller of a franchise called?
The seller of a franchise is called a 'franchisor'.
What is the purpose of a franchisor business?
known solutions, needs only sell
Which best describes what a franchise does?
A franchise ensures wide distribution of a franchisor's trademark, business model, and goods. A franchise protects a franchisor against companies imitating its trademark, business model, and goods. A franchise stops franchisees from using a company's trademark, business model, and goods. A franchise limits the use of a franchisor's trademark, business model, and goods.
Is the franchisee required to purchase equipment and supplies from the franchisor or other suppliers?
yes
What happens if you don't make a profit?
you dont make a profit
What is a franchisor?
A franchisor is a company that sells the right to use its name and/or operating systems to independent business owners. One of the best known franchisors is McDonald's.
What type of support is provided by the franchisor?
they dont get any
Why coke did not make profit in India?
coke did make a profit but for some people it did not
How does big ben make a profit?
It doesn't make a profit as it is not a business or company.
What is Sony Ericsson's marketing department mission?
THEIR MISSION IS TO ONLY MAKE PROFIT THEIR MISSION IS TO ONLY MAKE PROFIT THEIR MISSION IS TO ONLY MAKE PROFIT
What premier league teams make a profit?
Arsenal is the only club to make a profit.
Did South Africa make profit during world cup?
Yes they did make a profit.
Can you make a profit on a repossessed car?
Yes you can make profit on the car if you buy it from the bank.
How much profit will Sochi Olympics make?
It is possible that they will make no profit for the host country.
What is the seller of a franchise called?
The seller of a franchise is called a 'franchisor'.
What does profit margin mean?
Profit margin means the amount of profit you make measured in a percentage. This can include:Gross Profit marginNet Profit marginMarkup Profit margin
