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What Does a Franchisee Usually Pay to the Franchisor in Exchange

Question 29

Multiple Choice

What does a franchisee usually pay to the franchisor in exchange for being allowed to use the franchisor's name, their products and business systems?


A) Nothing, as franchise agreements are related to the marketing of the franchise.
B) A nominal fee, as franchise agreements are related to the marketing of the franchise.
C) A regular fixed fee and/or percentage of the income or profits of the franchise.
D) An up-front fixed amount one-off fee.

Correct Answer:

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