They vary a lot by industry. Fast-food and retail franchises usually have higher royalties (around 5–8%) because of strong brand power and support. Service-based or home-based franchises often charge lower fees (2–5%) since overhead is lighter. Always compare what you get for those fees training, marketing, and brand recognition can make the difference.

Royalties and fees can swing wildly depending on the industry fast-food brands often take bigger bites, while home-service and education franchises tend to be gentler. It can feel a little overwhelming at first, but once you line them up side-by-side, the differences become clear and you’ll know what truly fits your budget and comfort level.

Royalties and franchise fees can vary widely depending on the industry, and understanding these differences can help investors make a more informed choice. For example, food and beverage franchises often have higher royalty fees because they provide strong branding, operational support, and ongoing marketing. Service-based franchises, such as cleaning or education, usually have lower fees since their overhead is lighter. Retail brands tend to fall somewhere in the middle, balancing brand value with operational demands. In short, higher fees often reflect stronger brand recognition and support, while lower-fee models may offer more flexibility but require greater personal effort in marketing and management.