[pcsofdpuzzle]

Every entrepreneur must know before engaging to a franchise business is to know if the price is right? or is this too expensive? Can you give your thoughts and expertise on how to huggle price negotiations and franchising fees.

[richlanxsabelle]

When buying a franchise business especially big franchises, there is usually no chance to haggle with the franchise fees. The franchise rates of most companies either small time or big time are fixed.

When starting a business, the figures of the franchising fee is quite scary but then if you want a business that has already been established in the market then Franchising is still the best option.

No matter how big the figures might be, your financial adviser or the franchise company's representative will inform you of important details like initial investment and payback period.

[cessy]

I do not know of any way on how to determine if the franchiser is giving you a fair amount of franchising fee or not. I think it would be best to expect a big franchising fee especially if you are planning to join a big company because in a way, you are buying a part of their name.

[richlanxsabelle]

Yes, franchising a big company definitely means higher franchising costs. It's not only the name that you're buying but also the proven business system which made the company successful.

[crazzee]

I don’t know if there is a way to determine if the price you pay is fair or not. What I see in franchising is that the more reputable the company is, the higher the pay.

[bianca]

Your knowledge about the company will tell you if the franchise fee they offer is too high or too low. If it's a small company that you're planning to franchise don't expect millions in fees, but minimum to average only. If it's a big company, it would be of course mean an expensive fee. Remembering, you're buying their name and trademark. So don't expect it to come cheap.

[bizniz]

Usually, companies that are well known or doing well have higher franchise rates. There are some companies that offer low cost investment but once they were able to peak in the market, the franchise cost will also increase.

[audrey]

I think that you would not have a say on the franchising fees, unfortunately. As far as I know, companies have a fixed price for their franchise. That applies to the popular ones. I just don't know how it goes for the small companies.

[newfranchise]

When you are presented with a franchise agreement and franchise information, usually they already discuss the justifications of the cost they impose. The fixed price they have on franchise packages are, after all, meant to cover some basic expenses.

[aehtbieseht]

All companies I think that offers franchising has a fixed price of their own. You will just have to choose a package that suits your budget and you can afford. Prepare the initial payment too when you are going to franchise.