![]() |
|
![]() |
|
![]() |
|
![]() |
If you are thinking of turning your current into a franchising company you will need to determine a fair and equitable franchise royalty fee. There are a number of questions you will need to ask yourself in determining this fee such as what services you will provide to your franchisee team and what that will cost. You will also need to take a look at the competition to determine the amount that you can honestly charge without forgoing cost conscious franchise buyers.
It is also important once you go thru this strategic brain exercise to put into your confidential operations manual the procedures for royalty payment and explain why these royalty payments are necessary and how such money is used to maintain the franchise family and system.
Below is an outline to help you with your formulation of a chapter for your operations manual. I recommend that your print this article and modify it to fit your particular franchise system or future franchise company. First go ahead and modify the items then for each number and letter item write three paragraphs to your best understanding of how you will operate the royalty payment system. After this is completed you have yourself a working rough draft for insertion into your Confidential Operations Manual. Continued Success.
ROYALTIES
I. REASONS FOR ROYALTIES
II. WHAT YOU GET
III. FRANCHISOR
IV. DIRECT PAYMENT (AUTOMATIC DEBIT)
V. CREDIT CARD SYSTEM
VI. NON PAYMENT
VII. AUTOMATIC DEBIT BOUNCING
VIII. AMOUNTS
IX. REGIONAL ADVERTISING FUNDS
"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs
Where do you find more customers?How do you compete with... Read More
The less a business pays for goods and services the... Read More
Is it right for you?If you decide to advertise your... Read More
There are many little details that go into making sure... Read More
The easiest way to lift profits is to cut the... Read More
There's been a recent rise in the number of elderly... Read More
The home-based business market, sometimes called the SOHO (small-office/home-office) market,... Read More
Q: A friend told me that as a woman of... Read More
This morning, I went to take a short walk outside.... Read More
Starting a business? For many people, the bravery to venture... Read More
Sacred cows take a long time to die. We get... Read More
Most folks in the pressure washing business are happier to... Read More
One of the great challenges for independent professionals and small... Read More
If you're an entrepreneur responsible for your own small business... Read More
The challenges of the small business owner are well documented.... Read More
Bookkeeping?the "dreaded" word is something we all have to worry... Read More
(Although this article is geared towards small business owners, the... Read More
In this paper, I will:1. provide a framework for creating... Read More
The American system of business management has been admired and... Read More
Why does research and education play an important part of... Read More
If you run a mobile car wash, mobile fleet washing... Read More
Shipping materials can be expensive! Even the styrofoam "peanuts" can... Read More
We were more than excited. Our women's doubles tennis team... Read More
Senior citizens are generally not a large marketing segment for... Read More
If you are in the professional car care business you... Read More
E-mail and Internet use are integral parts of the typical... Read More
Articles abound advising the business community how to properly screen... Read More
Should you buy a business opportunity or Franchise if you... Read More
What is a guru?A guru is a teacher. A mentor.... Read More
Franchisor expansion policies are not as simple as one might... Read More
1. Look Over Your Shoulder ? Of course, Punxsutawney Phil... Read More
Would you rather have one good client paying you five... Read More
Send handwritten notes. That applies whether you're a guy or... Read More
Those who are in the pressure washer business should not... Read More
You may be in Mail Order, Direct Mail, or you... Read More
Your grandfather probably told you to "learn something new everyday".... Read More
You can't imagine how many people ask me how I... Read More
Often smart entrepreneurs look for out of the way businesses,... Read More
Q: After years of dreaming about starting my own business,... Read More
Are you a small business owner who wants to expand... Read More
We love Wichita because it has great all round weather... Read More
-- Beyond Cold Calling, "Warm" Calling and Sending E-mails --Many... Read More
You're pretty proud of yourself! After all, only four months... Read More
Most small business owners seek advisors who can help them... Read More
When deciding to host a fundraiser for your company or... Read More
It has been said that the only constant is change.... Read More
Costs of over regulation and over disclosure end up hurting... Read More
Last summer the FTC put forth a report and then... Read More
If you own a mobile truck washing, pressure washing or... Read More
Where would a business be without a business plan? A... Read More
Small Business Small Business |