About Franchise Advertising

About Franchise Advertising - This section has information on advertising costs. Franchisees often are required to contribute a percentage of their income to an advertising fund.

About Owning a Franchise

About Owning a FranchiseThe Benefits and Responsibilities of Franchise Ownership
A franchise enables you, the investor or franchisee, to operate a business. You pay a franchise fee and you get a format or system developed by the company (franchisor), the right to use the franchisor’s name for a limited time, and assistance. For example, the franchisor may provide you with help in finding a location for your outlet; initial training and an operating manual; and advice on management, marketing, or personnel. The franchisor may provide support through periodic newsletters, a toll-free telephone number, a website, or scheduled workshops or seminars.

Buying a franchise may reduce your investment risk by enabling you to associate with an established company. But the franchise fee can be substantial. You also will have other costs: for example, you may be required to give up significant control over your business while you take on contractual obligations with the franchisor.

Franchise Systems have Several Components

The Costs - In exchange for the right to use the franchisor’s name and assistance, you will pay some or all of the following fees.

Selecting a Franchise

Selecting a Franchise - Purchasing a franchise is like any other investment: it comes with risk. When you think about a particular franchise, think about the demand for the products or services it offers, competitors that offer similar products or services, the franchisor’s background, and the level of support you will receive.