Ever wonder how much a person who owns a successful franchise earns?
I spent some time yesterday with a guy who has worked for 20 years helping people buy and run franchises of several different types. His answer is that a franchise will net about 15% of gross revenues, essentially no matter what type of business the franchise is in. Of course that assumes that the business is well run.
If that's right, your local fast food franchise or golf store or car painting shop or whatever must generate a lot of revenue to provide the owner a good income. Doing $500,000/year would provide income of $75,000.
Makes for some interesting guessing as you drive around and see all of the franchise businesses popping up.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment