October 2014
Intermediate to advanced
618 pages
19h 56m
English
Content preview from Restaurant Franchising, 3rd Edition
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Financial Aspects of Franchising 249
As shown in Tables 8.4 and 8.5 the average total expenses of operating
a franchise restaurant may easily reach half to three quarters of a million
dollars for a single unit. These fi gures should be taken into account when fi g-
uring out the return on the investment. Descriptions associated with the items
listed in Table 8.4 follow. Table 8.6 presents an example of franchise fees and
royalty fees charged by selected franchise restaurants.
1. Real estate for a restaurant can be purchased or leased and, based on
which, costs vary signifi cantly. The cost of land, lease expenses, and
building varies with the location ...
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