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
What ongoing costs am I liable for as a franchisee?
As a franchisee you will be liable for a number of costs detailed in the franchise agreement and/or operations manual. The first cost you may incur is a one-off initial fee. Whether you have to pay this will depend on the nature of the franchise you are taking and your franchisor. In respect of ongoing fees there is likely to be: >> A monthly royalty fee that will typically be expressed as a percentage of the franchise business’ gross sales. >> A monthly marketing/advertising fee that is often charged by the franchisor, which again is typically expressed as a percentage of gross sales. Other less obvious ongoing costs include: >> Purchase of equipment or vehicles. >> Additional training. >> Rental of premises. >> Staff. >> Insurance premiums. >> Stationery. >> Finance costs if you, the franchisee, have taken out a loan to pay the initial fee or purchase or lease equipment/vehicles. While the above gives a general overview of costs, it may it also be prudent for a potential franchisee to ask existing franchisees to confirm any other costs that they incur on an ongoing basis as they will have first-hand experience.
You might also be interested in

Answered by Alan Wilkinson
Alan Wilkinson writes: The short answer is no. The interesting bit is why a franchisee should actually... read more

Answered by Louise Harris
Louise Harris writes: This question is one that many have explored and much has been written on... read more

Answered by John Pratt
John Pratt writes: Virtually all franchise agreements are granted for a specific term and either contain an... read more

Answered by Shelley Nadler
Shelley Nadler writes: The answer to this will really depend on the reason your franchise is not... read more
Exciting Franchise Opportunities

Start your own DiscreteHeat franchise
Yes
Find Out More£125,000

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

Start your own Garolla franchise
Yes
Find Out MoreN/A

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

Start your own easyStorage franchise
Yes
Find Out MoreNet profits rising from 7% to 40% on...

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

Start your own GoliathTech franchise
Yes
Find Out MoreN/A

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

Start your own The Spitting Pig Co franchise
Yes
Find Out More40% net profit on a turnover of £110,000

Request Free Information
Send a free enquiry to The Spitting Pig Co 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
-
Brexit property investment myths BUSTED!
Added 3 years ago | 2 min read
-
5 greatest lessons we’ve learnt from COVID
Added about 7 hours ago | 2 min read
-
Franchisees, ace staff recruitment with these top franchisor-recommended strategies
Added 3 days 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 -
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
What Franchise Newsletter
Keep up to date with all the industry news