Franchise Revenue
Calculator

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Assumptions and Data

 Year One Year Two Year Three
Franchise Sales Revenue
Franchise Sales
Franchise Sales (Year 1, 2 & 3)

Enter the number of new franchise units you expect to sell in each year. This represents how many franchises you plan to onboard in Year 1, Year 2, and Year 3.
Franchise Sales (Year 1, 2 & 3)

Enter the number of new franchise units you expect to sell in each year. This represents how many franchises you plan to onboard in Year 1, Year 2, and Year 3.
Franchise Sales (Year 1, 2 & 3)

Enter the number of new franchise units you expect to sell in each year. This represents how many franchises you plan to onboard in Year 1, Year 2, and Year 3.
Franchise Fee
Franchise Fee

Enter the upfront fee you plan to charge for each new franchise sold. This is the one-time cost a franchisee pays to join your network. It excludes any setup, equipment or fitout costs they will also require.
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Training Fee
Training Fee

Enter the fee you will charge each new franchisee for training. This covers onboarding, induction, and support provided when they join. This fee would usually only cover your costs in providing the training e.g. training courses, trainer wages.
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Total Franchise Sales Revenue 0 0 0

Total Number of Franchisees

 Franchise Franchises Franchises
Franchisee Average Target Gross Revenue
Franchise Sales

Enter the target average annual revenue you expect each franchisee to generate. This is the projected gross revenue per franchise unit, per year.
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Annual Revenue increase
Annual Revenue Increase (%)

Enter the percentage by which you expect each franchisee’s revenue to grow year over year. This accounts for business growth as each franchisee becomes more established. This will change the year 2 and 3 revenue figures.

Franchise Operating Revenue
Franchisor Fees, % of Gross Revenue % Annual Operating Revenue Annual Operating Revenue Annual Operating Revenue
Royalty
Royalty Fee (%)

Enter the percentage of each franchisee’s revenue that you will collect as a royalty. This is your ongoing income for providing brand, support, or services.
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Admin
Support Fee

Enter the percentage each franchisee will pay you for ongoing support. This is typically charged separately from royalties and covers services like coaching, admin, or system access.
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Marketing
Marketing Fee

Enter the marketing contribution percentage each franchisee is expected to make. This would be a fee they pay to you toward brand marketing efforts.
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Cost of Goods Supplied
Cost of Goods Supplied

Enter the average percentage each franchisee will spend on purchasing goods or products from you. This represents additional revenue if you supply products directly to your franchisees. Leave blank if not applicable.
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Total 0 0 0

Total Franchisor Revenue

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Industry Fee Ranges

Food and Beverage

  • Quick service restaurants (QSR)
  • Cafés and coffee chains
  • Juice bars and smoothie outlets
  • Casual dining
  • Dessert and snack bars

Fee Ranges

  • Franchise Fee: $30,000–$60,000
  • Royalty: 6%–9% of gross revenue
  • Admin/Support Fee: 1%–2% or fixed monthly fee (approx. $500–$1,000/month)
  • Training Fee: $5,000–$15,000 (sometimes bundled into total setup fee)

Retail franchises may have product supply arrangements where margins contribute indirectly to franchisor revenue, reducing reliance on royalties.

Retail

  • Convenience stores
  • Health and beauty retail
  • Specialty food stores (e.g. organic, gourmet)
  • Clothing and apparel
  • Electronics and technology retail

Fee Ranges

  • Franchise Fee: $20,000–$45,000
  • Royalty: 4%–7%
  • Admin/Support Fee: Often built into royalty, or charged at $300–$800/month
  • Training Fee: $2,500–$10,000

Retail franchises may have product supply arrangements where margins contribute indirectly to franchisor revenue, reducing reliance on royalties.

Health, Fitness, and Wellness

  • Gyms and fitness studios (including 24/7 access, boutique fitness, Pilates, yoga)
  • Allied health services (physio, massage, chiropractic)
  • Beauty salons and skincare clinics
  • Weight loss centres
  • Mental health and coaching services

Fee Ranges

  • Franchise Fee: $30,000–$50,000
  • Royalty: 5%–8%
  • Admin/Support Fee: $500–$1,200/month or 1% of revenue
  • Training Fee: $3,000–$10,000 (depending on length and certifications)

Franchises in this sector often require both operational and technical training (e.g., fitness certifications), which may increase training costs.

Home and Commercial Services

  • Cleaning (residential, commercial, windows, vehicles)
  • Lawn mowing and garden maintenance
  • Pest control
  • Pool care
  • Handyman and repair services

Fee Ranges

  • Franchise Fee: $15,000–$35,000
  • Royalty: 7%–15%
  • Admin/Support Fee: Flat fee often between $200–$600/month
  • Training Fee: $2,000–$5,000

This category is typically more accessible with lower startup costs and simpler systems. Some mobile models offer bundled flat-rate fees instead of percentage royalties.

Education and Training

  • Children’s tutoring and education
  • Coding, robotics, and STEM for kids
  • Vocational training
  • Corporate and soft skills training
  • Language education

Fee Ranges

  • Franchise Fee: $20,000–$45,000
  • Royalty: 6%–10% (high due to structured curriculum)
  • Admin/Support Fee: 1%–2% or bundled monthly (approx. $400–$900)
  • Training Fee: $3,000–$8,000

Due to content licensing and educational IP, royalties can be higher, but training is often delivered remotely or modularly.

Automotive

  • Car servicing and repairs
  • Tyres and batteries
  • Car detailing and washing
  • Mobile auto services (windscreen, diagnostics, keys)
  • Car rental and leasing

Fee Ranges

  • Franchise Fee: $20,000–$50,000
  • Royalty: 4%–6%
  • Admin/Support Fee: $300–$1,000/month (or waived if supply chain markup applies)
  • Training Fee: $2,000–$6,000

Some models reduce ongoing fees by earning margin through product supply (e.g., tyres, batteries). Hands-on training is standard and essential.

Professional and B2B Services

  • Accounting and bookkeeping
  • Business consulting (like TMPlus)
  • HR and recruitment
  • Legal services
  • IT support and cybersecurity

Fee Ranges

  • Franchise Fee: $15,000–$40,000
  • Royalty: 6%–10% (especially for coaching, consulting, or marketing franchises)
  • Admin/Support Fee: Flat fee of $300–$800/month, often includes tech stack
  • Training Fee: $2,500–$7,500

This category may rely more on coaching frameworks or lead generation platforms, which drives support costs and justifies admin fees.

Hospitality and Accommodation

  • Hotels and motels
  • Serviced apartments
  • Short-stay rentals
  • Travel agencies

Fee Ranges

  • Franchise Fee: $50,000–$100,000+
  • Royalty: 5%–10%
  • Admin/Support Fee: Often 1%–2% or $1,000–$2,500/month
  • Training Fee: $10,000–$25,000

Larger-scale operations with more complex systems. Fees are higher due to required systems integration, reservation platforms, and regulatory compliance.

Real Estate and Property Services

  • Real estate sales and rentals
  • Property management
  • Strata and body corporate services
  • Property inspections
  • Building and pest assessments

Fee Ranges

  • Franchise Fee: $20,000–$50,000
  • Royalty: 7%–10% (or per-transaction fee for sales-based models)
  • Admin/Support Fee: Often built into royalty or capped at $1,000/month
  • Training Fee: $3,000–$10,000 (licensing or industry training may be separate)

This sector may use tiered structures or performance-based royalty caps. Admin fees often cover compliance tools, CRM, and state-specific requirements.

Emerging Franchise Sectors

  • Sustainability and eco-focused services
  • NDIS and aged care support services
  • Pet services (grooming, walking, boarding)
  • eMobility and micro transport (like Wedgetail Bikes)
  • Home improvement and smart tech integration

Fee Ranges

  • Franchise Fee: $10,000–$40,000
  • Royalty: 5%–8%
  • Admin/Support Fee: Flat monthly ($300–$700) or bundled
  • Training Fee: $1,000–$6,000

For innovative or early-stage concepts (e.g. eMobility, sustainability, pet services), fees vary based on model maturity. Many offer introductory pricing to attract early adopters.

Disclaimer:
The figures provided are intended as general guides only and are based on industry averages. They do not constitute financial advice or a guarantee of results. Actual fees and returns may vary depending on the franchise system, market conditions, and individual performance.

The Franchise Fee - What You Need To Know

What the Franchise Fee Really Covers

The franchise fee is a flat, upfront payment that grants the franchisee a temporary licence to operate under your brand. It’s not a purchase of the business itself, the franchisor retains ownership of the intellectual property, systems, and brand. This fee acknowledges the value of what the franchisee receives at the outset: proven systems, brand recognition, training, and a structured pathway to start trading. Unlike buying an independent business, this fee doesn’t reflect a standalone business valuation, it's payment for access, not ownership.

Why the Fee Isn’t Linked to Territory Value

A common misconception is that franchise fees vary based on how 'good' or profitable a territory seems. In reality, the franchise fee is typically fixed, regardless of territory potential. That’s because higher-performing territories will naturally generate more revenue, and with royalties usually charged as a percentage of revenue, franchisees in stronger areas will pay more over time through ongoing royalties. The fee isn’t designed to reflect territory worth, it reflects the value of joining your brand and gaining access to your systems.

Franchise Fee vs Business Valuation: Greenfield vs Turnkey

Franchise fees apply most often to Greenfield opportunities, where the franchisee is setting up a brand-new site. In these cases, the fee covers brand rights and startup support. When you’re selling a turnkey operation or going concern, where an existing business is already operating, the valuation is approached more like a traditional business sale, often including goodwill, asset value, and trading history. It’s important to distinguish between the two: one pays for access, and the other includes operational value.

Want to dig a bit deeper into the financial model or understand the current franchise market?

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