In a franchise, the franchise parent receives a share of income or a flat fee from the franchisee.

Question

chayonne lewis · Accepted Answer

Final Answer : True, Explanation :  In a franchise model, the franchise parent (also known as the franchisor) typically receives a share of the franchisee's income (in the form of royalties or a percentage of sales) or a flat fee (in the form of an initial franchise fee or ongoing fees). This allows the franchisor to benefit from the success of its franchisees while also providing support, training, and branding for the franchisees.

In a franchise, the franchise parent receives a share of income or a flat fee from the franchisee.

Definitions

Learning Objectives

Learning Objectives

Related questions