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Initial franchise fees

Initial franchise fees are one-time payments made by a franchisee to the franchisor to gain the rights to operate under the franchisor’s brand and system. This fee grants access to the company's trademarks, proprietary methods, training, and support. It essentially covers the cost of starting your franchise business and establishing the relationship. The fee varies depending on the franchise, and paying it is a standard step in becoming an authorized franchise owner. It does not typically cover other expenses like equipment or inventory, which are separate costs.