The franchise business will contact you by means of email and/ or telephone only to the email address and phone number you have provided.
By submitting the enquiry form you are consenting to send your personal information to the selected franchise business.
You also agree to receive further newsletter email marketing from What Franchise.
Close
How is the initial franchise fee calculated?
In most cases, a franchisee will be charged an initial franchise fee. How it is calculated and what it covers varies from franchise to franchise. Details of what is included as part of the initial franchise fee should be set out in the franchise agreement.The initial fee covers a range of services provided by the franchisor to help the franchisee establish its business. This will usually include training in the franchise system for the franchisee and possibly some employees (if relevant) for a specified period of time, as well as advice and assistance on the various elements necessary to start up the business. The initial fee will also include the provision of the franchise operational manuals.For a premises based franchise, initial assistance provided by the franchisor may relate to the selection of premises and advice on the design, fitting out and equipping of the business. If the franchise is a mobile operation involving a liveried vehicle, the franchisor should provide assistance with the leasing of a suitable vehicle and the application of the livery. In some franchise networks the initial fee includes a package of equipment and/or products comprising all the initial requirements of the franchisee’s business. In some cases, it may include the cost of a ‘turnkey’ fitting out of premises and cover the cost of an initial marketing launch or supply of marketing materials or templates.If you are in any doubt as to what is included in the initial franchise fee, ask the franchisor to provide you with a breakdown.
You might also be interested in

Answered by Vincent Anthony
Vincent Anthony writes: The property market has wide appeal because it is relevant to everyone: we all... read more

Answered by Louise Harris
Louise Harris writes: Richness or wealth is relative. We always want more, I guess. So, what is... read more

Answered by Shelley Nadler
Shelley Nadler writes: A concern that businesses may have when deciding to franchise their business, is the... read more

Answered by Alan Wilkinson
Alan Wilkinson writes: There are two elements to consider here. First is the franchise fee itself, and... read more
Exciting Franchise Opportunities

Start your own Trail Runners franchise
Yes
Find Out More£40,000

Request Free Information
Send a free enquiry to Trail Runners for further information!

Start your own Banana Moon franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Banana Moon for further information!

Start your own Canopy Children’s Nurseries franchise
Yes
Find Out More£100,000+

Request Free Information
Send a free enquiry to Canopy Children’s Nurseries for further information!

Start your own Kaspa’s Desserts franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Kaspa’s Desserts for further information!

Start your own Blossom Home Care franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Blossom Home Care for further information!
Companies to Consider

Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
-
50 franchise brands with training programmes in 2025
Added 4 months ago | 2 min read
-
Franchise funding: How to beat the banks
Added 3 days ago | 2 min read
-
Franchise agreements: How to navigate territory rights
Added 3 weeks ago | 2 min read
Franchises by Minimum Investment
Find your next business opportunity
Search 100s of UK franchises and become your own boss today.
-
Under 10k
Starting a franchise doesn't have to be costly
Click here -
Under 20k
A mid-range investment for the more experienced
Click here -
Under 50k
If you have experience and more to invest
Click here -
Over 50k
If budget is not an issue, then don't miss these
Click here -
Local Franchises
Find the perfect franchise in a location to suit you
Click here
COPYRIGHT © 2025 ARTICHOKE MEDIA LTD Registered in England and Wales No 14769147 Registered Office Address: Jubilee House, 92 Lincoln Road, Peterborough, PE1 2SN
With the publication of Getting Started in Franchising, What-Franchise.com is not offering legal, financial or any other professional advice or endorsements. Readers are encouraged to seek advice from professionals in specialised fields before acting on any information published herein. The views and opinions expressed in Getting Started in Franchising are those of the author(s) and do not necessarily reflect the views and opinions of What-Franchise.com members or staff.
What Franchise Newsletter
Keep up to date with all the industry news