What Are The Types of Franchise Fees That I Can Charge For?

What are the types of franchise fees that I can charge for?

We get a lot of questions about how to run your franchise and at FranchisingWA we make it our goal to assist you in developing your system.

Generally, there are three types of fees:

Initial Franchisee Fee – where in the new Franchisee pays a sum to the Franchisor. This fee can be anywhere from $5,000 – $75,000 and is usually used by the Franchisor to assist you in setting up your business.
Ongoing Franchisee Fee or Royalty Payment – this is usually in the form of either a percentage of sales or as a fixed amount. Chargeable either weekly or monthly and normally in arrears.
Marketing Fee or Levy – this is where the Franchisee pays into a separate account held by the Franchisor for Marketing Activities. This is usually in the form of either a percentage of sales or as a fixed amount. Chargeable either weekly or monthly and normally in arrears.

If you have any questions you would like answered, let us know in the comments below!

For more information, check out our website www.franchisingwa.com.au or call us at (08) 9228 9812.

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Mark FernandezSeptember 21, 2022Franchising, Latest Newsbusinessopportunity, businesstips, FranchiseOpportunities, franchiseowner, franchisesystems, StartYourOwnBusiness

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What our clients say about us.

“I enjoyed the relaxed atmosphere at the WA Women in Franchising Lunch & Learn event. The information provided was insightful and helpful to my business.”

Deborah Whitburn, Owner, Snap Print Solutions Midland
“WAWiF is fantastic opportunity to get to know your peers, network and overcome the challenges. Great support!”
"Mark and his team did a great job and had a really fun day playing with other Franchisees. Will do it again!"

Steve Harris, Franchise Owner, Hire A Hubby Bunbury
“Congratulations on organising the gala event. I really enjoyed it all, meeting such interesting people, the hospitality and even the coffee was very good!”

– Mike Barr, Owner, Caffissimo
"Very well organised!"

Jemin Loong, Business Banking Manager, ANZ
“During the Awards Night, I liked the way the host kept the public engage and the enthusiasm of the nominated team members. Not to forget the entertainer team was fabulous!”
"Mark has extensive franchising and business experience and combines this knowledge with great enthusiasm and drive. He is a brilliant person for bouncing ideas around and always brings creativity and a fresh perspective to the table. Would recommend Mark for his wide ranging abilities in policy, strategy, industry knowledge and innovative thinking."

Jackie Dihm Owner, FitChips
“A great event celebrating the best franchising affiliated business in WA!”

– Stefan R Thomas, Lecturer, Curtin University
"I must say you put things in a way that made me understand things and I really got lots from our session and plan to be making changes in the future. I look forward to the next steps in our meetings."
“Great night to get your team together and celebrate all their hard work. I was able to meet so many wonderful like-minded business owners in other industries.”
“On behalf of Legalwise Seminars, we wanted to thank you for chairing our Franchise Law seminar. We are extremely appreciative of your significant contribution. Overall, the feedback received from the seminar has been excellent and we are delighted with the outcome."

Sintija Dobrotinsek Program Manager, Legalwise
“Very enjoyable night!”

– Allan Kirk, Owner, Quality Batteries WA
“Mark and I always seem to catch up at just about franchising event around the country. He is deeply immersed in the business community and is a great source of help and advice when required. He is exceptionally knowledgeable and a really nice guy who is always a pleasure to catch up with."

James Scurr Managing Director, Cashflow It
“Great showcase of local franchise businesses. Great promotion for the industry to get behind and support an independent award with internationally acclaimed judges.”
“What a night for WA franchising, just shows what small business can do.” – Anonymous
"A quick one to say thanks for Tuesday night. I thought it was a great venue, great atmosphere and a bunch of knowledgeable and colourful business people. Hats off mate!"

Chris Walker Writer & Editor, Wordfox
“If you are considering Franchising, either as a Franchisor or a Franchisee, then early on in the process speak to Mark Fernandez at Franchising WA.”
"Mark brings a sense of energy and positivity to everyone he meets. I have total trust in him as a fellow consultant, and together we are able to get great outcomes for a client we jointly work with. He has an instinctive understanding of how businesses work, and is able to bring structure and systems which enable businesses to replicate and grow. He is comfortable working with financials, whilst his greatest strength is probably his insight into people. Mark is supportive and encouraging, yet not afraid to be honest and forthright when required. I look forward to working with Mark on future projects."

Jayne Griffiths HR Director, My Hr Adviser
"Great to be able to share my expertise in an area I am very passionate about being data analytics and helping enable businesses with the information they need to move their business forward, grow and prosper."

– Rick Hemphill, Director, SW Accountants & Advisors Pty Ltd
“I enjoyed the relaxed atmosphere at the WA Women in Franchising Lunch & Learn event. The information provided was insightful and helpful to my business.”

– Deborah Whitburn, Owner, Snap Print Solutions Midland
“WAWiF is fantastic opportunity to get to know your peers, network and overcome the challenges. Great support!”