Franchise Advertising Fees
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If you re calling a lot of franchisees like i suggest you do you re going to find the topic of marketing fees is a hotly contested one.
Franchise advertising fees. Another type of ongoing franchise fees includes advertising and or marketing fees. The current franchisees of the system your looking into must feel that the fees that they re paying into the franchise marketing fund is money well spent. Franchisors that set fees at unrealistically low rates in a desire to seem competitive to other franchisors will soon find that the lack of effective advertising programs will be viewed by the franchisees as a failure of the franchise system. What does the franchise advertising fee pay for.
Like royalty fees advertising fees are paid on a regular basis and may be set as a constant amount or an amount that corresponds to your gross sales though typically at a lower percentage than royalty fees. The average advertising fee ranges from 3 5. Several have a minimum fee requirement but there are others that have no advertising fees at all.
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