The payment the franchisee makes to the franchiser based on gross sales is:

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The payment the franchisee makes to the franchiser based on gross sales is known as royalty. It is usually a fixed percentage of the franchisee's gross sales and is paid to the franchiser as a form of ongoing revenue. It is different from the start-up fee, which is a one-time fee paid to the franchiser to start the franchise business, a technical assistance fee, which is paid for training and support services provided by the franchiser, and a national advertising fee, which is used to fund national advertising campaigns for the franchise brand.

The Payment the Franchisee Makes to the Franchiser Based on Gross