One Unit Opened: Your Income:
Initial Franchise Fee $25,000 $12,500 initial fees you collect
Annual Gross Sales $1,000,000 $30,000 annual income to you
$42,500
Ten Units Opened: Your Income:
Initial Franchise Fee $25,000 X 10 $125,000 in initial fees you collect
Annual Gross Sales $10,000,000 $300,000 annual income to you
$425,000
Twenty Units Opened: Your Income:
Initial Franchise Fee $25,000 X 20 $250,000 in initial fees you collect
Annual Gross Sales $20,000,000 $600,000 annual income to you
$850,000
If 100 units open in your territory, your royalty income would be $3,000,000 per year. In addition to that, you would have made an income of $1,250,000 for opening 100 units because you received 50% of the franchise fee which is $12,500 (100 x $12,500 = $1,250,000) The profit potential of owning a successful Master Franchise territory is huge.