{"id":185601,"date":"2023-12-21T22:57:15","date_gmt":"2023-12-21T22:57:15","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=185601"},"modified":"2024-05-22T00:36:26","modified_gmt":"2024-05-21T23:36:26","slug":"franchise-marketing-fee","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/","title":{"rendered":"What is a Franchise Marketing Fee?"},"content":{"rendered":"\n<p>Being a <a href=\"https:\/\/legalvision.co.uk\/franchising\/franchisee-rights\/\">franchisee<\/a> means paying various fees, and knowing what you owe and when it is due is vital. Commonly, one of the fees franchisors charge is a marketing fee. Most franchisors use the funds from the marketing fee to advertise the wider franchise business. It is an additional payment that franchisors usually take separately from the royalty fees. This article will explain what a franchise marketing fee is and why your franchise business must pay it.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What Are Marketing Fees?<\/h2>\n\n\n\n<p>Franchisors tend to charge their franchisees a marketing fee, the amount of which varies depending on the franchise. This is usually a regular payment, like the <a href=\"https:\/\/legalvision.co.uk\/franchising\/what-franchise-fees-will-i-need-to-pay\/\">ongoing franchise fee<\/a>. All marketing fees are pooled into one large pot of funds, which are directed to <a href=\"https:\/\/legalvision.co.uk\/regulatory-compliance\/marketing-new-business\/\">marketing the franchise brand<\/a> and strengthening its presence.&nbsp;<\/p>\n\n\n\n<p>A franchisor\u2019s marketing goals can vary depending on factors such as:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>industry;<\/li>\n\n\n\n<li>network size; and&nbsp;<\/li>\n\n\n\n<li>age of the business.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>As a franchisee, your fees can vary depending on how your franchisor calculates them. For example, they may charge the marketing fee monthly at a flat rate or fixed percentage, such as 2 or 4% of your gross monthly profit. Check your <a href=\"https:\/\/legalvision.co.uk\/franchising\/franchise-agreement\/\">franchise agreement<\/a> if you need to clarify how much you owe or when you owe it.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What Do Marketing Fees Contribute Towards?<\/h2>\n\n\n\n<p>The franchisor builds a <a href=\"https:\/\/legalvision.co.uk\/franchising\/manage-franchise-marketing-fund\/\">marketing fund<\/a> by collecting small amounts from each franchisee. If the franchise network is extensive, this pot can develop into a considerable fund. The franchisor can spend this on more extensive advertising.\u00a0<\/p>\n\n\n\n<div  class=\"box box--icon box--info\">\n    <p>Typically, franchisors will use marketing payments to pay for large promotions and projects related to the broader business rather than the units you are responsible for. However, they can utilise the funds for localised marketing, too.<\/p>\n<\/div>\n\n\n\n<p>Suppose you want more information about how the franchisor spends this money. In that case, you might ask your franchisor for more details on:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>the brand\u2019s marketing strategies;<\/li>\n\n\n\n<li>current advertising projects; and&nbsp;<\/li>\n\n\n\n<li>the success of previous campaigns.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>Some franchisors ask their franchisees to guide how they should spend the money.<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+448081968584\" class=\"not-prose\">0808 196 8584<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white    \">\n    <script>\nvar gform;gform||(document.addEventListener(\"gform_main_scripts_loaded\",function(){gform.scriptsLoaded=!0}),document.addEventListener(\"gform\/theme\/scripts_loaded\",function(){gform.themeScriptsLoaded=!0}),window.addEventListener(\"DOMContentLoaded\",function(){gform.domLoaded=!0}),gform={domLoaded:!1,scriptsLoaded:!1,themeScriptsLoaded:!1,isFormEditor:()=>\"function\"==typeof InitializeEditor,callIfLoaded:function(o){return!(!gform.domLoaded||!gform.scriptsLoaded||!gform.themeScriptsLoaded&&!gform.isFormEditor()||(gform.isFormEditor()&&console.warn(\"The use of gform.initializeOnLoaded() is deprecated in the form editor context and will be removed in Gravity Forms 3.1.\"),o(),0))},initializeOnLoaded:function(o){gform.callIfLoaded(o)||(document.addEventListener(\"gform_main_scripts_loaded\",()=>{gform.scriptsLoaded=!0,gform.callIfLoaded(o)}),document.addEventListener(\"gform\/theme\/scripts_loaded\",()=>{gform.themeScriptsLoaded=!0,gform.callIfLoaded(o)}),window.addEventListener(\"DOMContentLoaded\",()=>{gform.domLoaded=!0,gform.callIfLoaded(o)}))},hooks:{action:{},filter:{}},addAction:function(o,r,e,t){gform.addHook(\"action\",o,r,e,t)},addFilter:function(o,r,e,t){gform.addHook(\"filter\",o,r,e,t)},doAction:function(o){gform.doHook(\"action\",o,arguments)},applyFilters:function(o){return gform.doHook(\"filter\",o,arguments)},removeAction:function(o,r){gform.removeHook(\"action\",o,r)},removeFilter:function(o,r,e){gform.removeHook(\"filter\",o,r,e)},addHook:function(o,r,e,t,n){null==gform.hooks[o][r]&&(gform.hooks[o][r]=[]);var d=gform.hooks[o][r];null==n&&(n=r+\"_\"+d.length),gform.hooks[o][r].push({tag:n,callable:e,priority:t=null==t?10:t})},doHook:function(r,o,e){var t;if(e=Array.prototype.slice.call(e,1),null!=gform.hooks[r][o]&&((o=gform.hooks[r][o]).sort(function(o,r){return o.priority-r.priority}),o.forEach(function(o){\"function\"!=typeof(t=o.callable)&&(t=window[t]),\"action\"==r?t.apply(null,e):e[0]=t.apply(null,e)})),\"filter\"==r)return e[0]},removeHook:function(o,r,t,n){var e;null!=gform.hooks[o][r]&&(e=(e=gform.hooks[o][r]).filter(function(o,r,e){return!!(null!=n&&n!=o.tag||null!=t&&t!=o.priority)}),gform.hooks[o][r]=e)}});\n<\/script>\n\n                <div class='gf_browser_gecko gform_wrapper gravity-theme gform-theme--no-framework lawyer-form_wrapper gplaceholder_wrapper form-with-labels-no-asterisks_wrapper has-new-validation-error-styling_wrapper' data-form-theme='gravity-theme' data-form-index='0' id='gform_wrapper_2453' style='display:none'><div id='gf_2453' class='gform_anchor' tabindex='-1'><\/div><form method='post' enctype='multipart\/form-data' target='gform_ajax_frame_2453' id='gform_2453' class='lawyer-form gplaceholder form-with-labels-no-asterisks has-new-validation-error-styling' action='\/api\/wp\/v2\/posts\/185601#gf_2453' data-formid='2453' novalidate>\n                        <div class='gform-body gform_body'><div id='gform_fields_2453' class='gform_fields top_label form_sublabel_below description_below validation_below'><div id=\"field_2453_1000\" class=\"gfield gfield--type-honeypot gform_validation_container field_sublabel_below gfield--has-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_1000'>X\/Twitter<\/label><div class='ginput_container'><input name='input_1000' id='input_2453_1000' type='text' value='' autocomplete='new-password'\/><\/div><div class='gfield_description' id='gfield_description_2453_1000'>This field is for validation purposes and should be left unchanged.<\/div><\/div><div id=\"field_2453_1\" class=\"gfield gfield--type-text gfield--input-type-text gf_left_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_1'>First Name<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_text'><input name='input_1' id='input_2453_1' type='text' value='' class='medium'     aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2453_12\" class=\"gfield gfield--type-text gfield--input-type-text gf_right_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_12'>Last Name<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_text'><input name='input_12' id='input_2453_12' type='text' value='' class='medium'     aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2453_2\" class=\"gfield gfield--type-email gfield--input-type-email gf_left_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_2'>Email Address<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_email'>\n                            <input name='input_2' id='input_2453_2' type='email' value='' class='medium'    aria-required=\"true\" aria-invalid=\"false\"  \/>\n                        <\/div><\/div><div id=\"field_2453_3\" class=\"gfield gfield--type-phone gfield--input-type-phone gf_right_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_3'>Phone<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_phone'><input name='input_3' id='input_2453_3' type='tel' value='' class='medium'   aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2453_14\" class=\"gfield gfield--type-select gfield--input-type-select gfield--width-full custom-select gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_14'>Number of Employees in Your Business<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_select'><select name='input_14' id='input_2453_14' class='large gfield_select'    aria-required=\"true\" aria-invalid=\"false\" ><option value='' selected='selected'>Select ...<\/option><option value='0' >0<\/option><option value='1' >1-5<\/option><option value='6' >6-20<\/option><option value='21' >21-50<\/option><option value='51' >51-250<\/option><option value='250' >250+<\/option><\/select><\/div><\/div><div id=\"field_2453_4\" class=\"gfield gfield--type-textarea gfield--input-type-textarea gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2453_4'>Tell us about your enquiry<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_textarea'><textarea name='input_4' id='input_2453_4' class='textarea medium'     aria-required=\"true\" aria-invalid=\"false\"   rows='10' cols='50'><\/textarea><\/div><\/div><div id=\"field_2453_5\" class=\"gfield gfield--type-html gfield--input-type-html gfield_html gfield_html_formatted gfield_no_follows_desc field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  >By submitting this form, you agree to receive emails from LegalVision and can unsubscribe at any time. View our <a href=\"https:\/\/legalvision.co.uk\/privacy-notice\/\" target=\"_blank\">Privacy Policy<\/a>. <\/div><div id=\"field_2453_8\" class=\"gfield gfield--type-hidden gfield--input-type-hidden gform_hidden field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><div class='ginput_container ginput_container_text'><input name='input_8' id='input_2453_8' type='hidden' class='gform_hidden'  aria-invalid=\"false\" value='http:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/185601' \/><\/div><\/div><div id=\"field_2453_13\" class=\"gfield gfield--type-hidden gfield--input-type-hidden gform_hidden field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><div class='ginput_container ginput_container_text'><input name='input_13' id='input_2453_13' type='hidden' class='gform_hidden'  aria-invalid=\"false\" value='generic_form' \/><\/div><\/div><fieldset id=\"field_2453_999\" class=\"gfield gfield--type-checkbox gfield--type-choice gfield__uk-marketo-opt-in field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><legend class='gfield_label gform-field-label screen-reader-text' ><\/legend><div class='ginput_container ginput_container_checkbox'><div class='gfield_checkbox ' id='input_2453_999'><div class='gchoice gchoice_2453_999_1'>\n\t\t\t\t\t\t\t\t<input class='gfield-choice-input' name='input_999.1' type='checkbox'  value='1'  id='choice_2453_999_1'   \/>\n\t\t\t\t\t\t\t\t<label for='choice_2453_999_1' id='label_2453_999_1' class='gform-field-label gform-field-label--type-inline'>By submitting this form, you agree to receive content and event invitations from us to help you grow your business. If you do not want to receive such messages, tick here.<\/label>\n\t\t\t\t\t\t\t<\/div><\/div><\/div><\/fieldset><\/div><\/div>\n        <div class='gform-footer gform_footer top_label'> <button type=\"submit\" id=\"gform_submit_button_2453\" class=\"gform_button button\" onclick=\"gform.submission.handleButtonClick(this);\" data-submission-type=\"submit\"><span class=\"gform_submit_button__text\">Submit Now<\/span><\/button> <input type='hidden' name='gform_ajax' value='form_id=2453&amp;title=&amp;description=&amp;tabindex=0&amp;theme=gravity-theme&amp;hash=ec2463697d0d9cef7b71236ae60964c7' \/>\n            <input type='hidden' class='gform_hidden' name='gform_submission_method' data-js='gform_submission_method_2453' value='iframe' \/>\n            <input type='hidden' class='gform_hidden' name='gform_theme' data-js='gform_theme_2453' id='gform_theme_2453' value='gravity-theme' \/>\n            <input type='hidden' class='gform_hidden' name='gform_style_settings' data-js='gform_style_settings_2453' id='gform_style_settings_2453' value='' \/>\n            <input type='hidden' class='gform_hidden' name='is_submit_2453' value='1' \/>\n            <input type='hidden' class='gform_hidden' name='gform_submit' value='2453' \/>\n            \n            <input type='hidden' class='gform_hidden' name='gform_currency' data-currency='GBP' value='c0OeX06kRtsIj\/FGD2jgL1wbPQbb4izDjapIKEFTOFRq2wE6BJi\/8SJ7gi7XvBu03tO3GBwZph3p0oHPoyog7wIopEc8oJy\/CghE2hq1PpqrieU=' \/>\n            <input type='hidden' class='gform_hidden' name='gform_unique_id' value='' \/>\n            <input type='hidden' class='gform_hidden' name='state_2453' value='WyJ7XCIxNFwiOltcIjIyODY0N2ViMWU3NTcxZjA4YTY4NGJmMDcwMTk3Y2I0XCIsXCJiMzk3YmQ1MDBmMmFjNjk1ODE4MzdmNTBhYTA2MzQ0OFwiLFwiNGYyNGZkZGEwMzlkNDUxMWFhZGE1NGYwZmQwZmNiZTdcIixcIjUyMmJkMDE2M2I2ZmEwOTI3NDZhZjU5YTg0ZmM1NDk5XCIsXCIzODRlNjk1YjQxMTAzMWFiYmQ2ODEyMGYyZWFhMDYyNlwiLFwiYjkzNDcwNTE2MjkxOGRjZWViMjQzNzRjNmE0NGVmNTlcIixcIjQxMTliODZhMzVjYzJiMWViNDZiMmQ4NjRlNGUzZmNjXCJdfSIsIjQ3MjNiMzA2ZDIyZGVkODA2N2YyMjYyOThkYzI1ODVmIl0=' \/>\n            <input type='hidden' autocomplete='off' class='gform_hidden' name='gform_target_page_number_2453' id='gform_target_page_number_2453' value='0' \/>\n            <input type='hidden' autocomplete='off' class='gform_hidden' name='gform_source_page_number_2453' id='gform_source_page_number_2453' value='1' \/>\n            <input type='hidden' name='gform_field_values' value='' \/>\n            \n        <\/div>\n                        <\/form>\n                        <\/div>\n\t\t                <iframe style='display:none;width:0px;height:0px;' src='about:blank' name='gform_ajax_frame_2453' id='gform_ajax_frame_2453' title='This iframe contains the logic required to handle Ajax powered Gravity Forms.'><\/iframe>\n\t\t                <script>\ngform.initializeOnLoaded( function() {gformInitSpinner( 2453, 'https:\/\/legalvision.co.uk\/wp-content\/themes\/legalv-v6\/img\/spinner.svg', true );jQuery('#gform_ajax_frame_2453').on('load',function(){var contents = jQuery(this).contents().find('*').html();var is_postback = contents.indexOf('GF_AJAX_POSTBACK') >= 0;if(!is_postback){return;}var form_content = jQuery(this).contents().find('#gform_wrapper_2453');var is_confirmation = jQuery(this).contents().find('#gform_confirmation_wrapper_2453').length > 0;var is_redirect = contents.indexOf('gformRedirect(){') >= 0;var is_form = form_content.length > 0 && ! is_redirect && ! is_confirmation;var mt = parseInt(jQuery('html').css('margin-top'), 10) + parseInt(jQuery('body').css('margin-top'), 10) + 100;if(is_form){form_content.find('form').css('opacity', 0);jQuery('#gform_wrapper_2453').html(form_content.html());if(form_content.hasClass('gform_validation_error')){jQuery('#gform_wrapper_2453').addClass('gform_validation_error');} else {jQuery('#gform_wrapper_2453').removeClass('gform_validation_error');}setTimeout( function() { \/* delay the scroll by 50 milliseconds to fix a bug in chrome *\/ jQuery(document).scrollTop(jQuery('#gform_wrapper_2453').offset().top - mt); }, 50 );if(window['gformInitDatepicker']) {gformInitDatepicker();}if(window['gformInitPriceFields']) {gformInitPriceFields();}var current_page = jQuery('#gform_source_page_number_2453').val();gformInitSpinner( 2453, 'https:\/\/legalvision.co.uk\/wp-content\/themes\/legalv-v6\/img\/spinner.svg', true );jQuery(document).trigger('gform_page_loaded', [2453, current_page]);window['gf_submitting_2453'] = false;}else if(!is_redirect){var confirmation_content = jQuery(this).contents().find('.GF_AJAX_POSTBACK').html();if(!confirmation_content){confirmation_content = contents;}jQuery('#gform_wrapper_2453').replaceWith(confirmation_content);jQuery(document).scrollTop(jQuery('#gf_2453').offset().top - mt);jQuery(document).trigger('gform_confirmation_loaded', [2453]);window['gf_submitting_2453'] = false;wp.a11y.speak(jQuery('#gform_confirmation_message_2453').text());}else{jQuery('#gform_2453').append(contents);if(window['gformRedirect']) {gformRedirect();}}jQuery(document).trigger(\"gform_pre_post_render\", [{ formId: \"2453\", currentPage: \"current_page\", abort: function() { this.preventDefault(); } }]);        if (event && event.defaultPrevented) {                return;        }        const gformWrapperDiv = document.getElementById( \"gform_wrapper_2453\" );        if ( gformWrapperDiv ) {            const visibilitySpan = document.createElement( \"span\" );            visibilitySpan.id = \"gform_visibility_test_2453\";            gformWrapperDiv.insertAdjacentElement( \"afterend\", visibilitySpan );        }        const visibilityTestDiv = document.getElementById( \"gform_visibility_test_2453\" );        let postRenderFired = false;        function triggerPostRender() {            if ( postRenderFired ) {                return;            }            postRenderFired = true;            gform.core.triggerPostRenderEvents( 2453, current_page );            if ( visibilityTestDiv ) {                visibilityTestDiv.parentNode.removeChild( visibilityTestDiv );            }        }        function debounce( func, wait, immediate ) {            var timeout;            return function() {                var context = this, args = arguments;                var later = function() {                    timeout = null;                    if ( !immediate ) func.apply( context, args );                };                var callNow = immediate && !timeout;                clearTimeout( timeout );                timeout = setTimeout( later, wait );                if ( callNow ) func.apply( context, args );            };        }        const debouncedTriggerPostRender = debounce( function() {            triggerPostRender();        }, 200 );        if ( visibilityTestDiv && visibilityTestDiv.offsetParent === null ) {            const observer = new MutationObserver( ( mutations ) => {                mutations.forEach( ( mutation ) => {                    if ( mutation.type === 'attributes' && visibilityTestDiv.offsetParent !== null ) {                        debouncedTriggerPostRender();                        observer.disconnect();                    }                });            });            observer.observe( document.body, {                attributes: true,                childList: false,                subtree: true,                attributeFilter: [ 'style', 'class' ],            });        } else {            triggerPostRender();        }    } );} );\n<\/script>\n<\/div>\n<\/div>\n<div id=\"content-next\"><!-- scroll anchor --><\/div>\n<h2 class=\"wp-block-heading\">Why Pay Marketing Fees?<\/h2>\n\n\n\n<p>Paying marketing fees is likely a contractual obligation for franchisees set in the franchise agreement. You should pay it regularly and on time; otherwise, you may be in breach of contract. Your business can benefit from the franchisor\u2019s marketing spending.&nbsp;<\/p>\n\n\n\n<p>You will be contributing to a network-wide pot for marketing projects that can be regional, national, and sometimes international in scope. You may not see quick or direct value from your payments. But, the marketing fee can positively affect your franchise unit. Your business can benefit if the franchisor successfully markets the overarching brand. A successful campaign can:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>enhance the brand\u2019s market position;&nbsp;<\/li>\n\n\n\n<li>increase brand awareness; and&nbsp;<\/li>\n\n\n\n<li>bring new customers to your unit.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>Some franchisors will not charge a marketing fee. If they do, the marketing fund does not form part of the franchisor\u2019s income. Instead, they should spend it on advertising the wider franchise business. Prospective franchisees who want to avoid paying a marketing fee may negotiate this with their franchisor, but they may still require that you pay it.<\/p>\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/17232044\/UK-franchisor-handbook-452.jpg\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">UK Franchisor Handbook<\/div>\n            <div class=\"body-text\">\n                <p>This handbook covers all the essential topics you need to know about franchising your business.<\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/go.legalvision.co.uk\/uk-franchisor-handbook.html\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\">Local Spending<\/h2>\n\n\n\n<p>In addition to contributing to the network-wide marketing budget, the franchise may require you to spend on local advertising and marketing your own unit. Local marketing is another cost of franchise ownership. This is a cost you should factor into your budget. Your franchisor may be able to help you generate fresh campaign ideas.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>Most franchisors charge a marketing fee and pool the funds from all their franchisees into one pot. They use this fund to promote the brand and conduct more extensive advertising. Franchisors usually expect their franchisees to pay this fee monthly. They typically calculate the amount you owe in one of two ways:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>as a fixed rate; or<\/li>\n\n\n\n<li>a small percentage of your gross profit.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>Some franchisors ask for their franchisees\u2019 input on how to spend the money. You might ask your franchisor for details if you want further information on how your franchisor uses the marketing fund.&nbsp;<\/p>\n\n\n\n<p>If you need legal assistance with your franchise or help assessing the viability of a franchise opportunity, our experienced <a href=\"https:\/\/legalvision.co.uk\/franchise-lawyers-lp\/\">franchise lawyers<\/a> can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on <a href=\"tel:+448081968584\" class=\"AVANSERnumber dynamic-number\">0808 196 8584<\/a> or visit our <a href=\"\/membership\">membership page<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Being a franchisee means paying various fees, and knowing what you owe and when it is due is vital. Commonly, one of the fees franchisors charge is a marketing fee. Most franchisors use the funds from the marketing fee to advertise the wider franchise business. It is an additional payment that franchisors usually take separately<a href=\"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/\">Continue reading <span class=\"sr-only\">&#8220;What is a Franchise Marketing Fee?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13435,"featured_media":183582,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"183944,174194,183009,182733,185531,176025","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[33],"tags":[59,496,1742,1743],"class_list":["post-185601","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-franchising","tag-franchise-fees","tag-marketing","tag-franchise-marketing-fee","tag-franchise-fee"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What is a Franchise Marketing Fee? | LegalVision UK<\/title>\n<meta name=\"description\" content=\"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is a Franchise Marketing Fee? | LegalVision UK\" \/>\n<meta property=\"og:description\" content=\"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/\" \/>\n<meta property=\"og:site_name\" content=\"LegalVision UK\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/LegalVision\" \/>\n<meta property=\"article:published_time\" content=\"2023-12-21T22:57:15+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-05-21T23:36:26+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"1440\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Jessica Drew\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:site\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Jessica Drew\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/\"},\"author\":{\"name\":\"Jessica Drew\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/#\\\/schema\\\/person\\\/7a672563f269eb009b1eaefd0625ae36\"},\"headline\":\"What is a Franchise Marketing Fee?\",\"datePublished\":\"2023-12-21T22:57:15+00:00\",\"dateModified\":\"2024-05-21T23:36:26+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/\"},\"wordCount\":720,\"image\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2023\\\/10\\\/26041602\\\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg\",\"keywords\":[\"franchise fees\",\"marketing\",\"franchise marketing fee\",\"franchise fee\"],\"articleSection\":[\"Franchising Articles\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/\",\"url\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/\",\"name\":\"What is a Franchise Marketing Fee? | LegalVision UK\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2023\\\/10\\\/26041602\\\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg\",\"datePublished\":\"2023-12-21T22:57:15+00:00\",\"dateModified\":\"2024-05-21T23:36:26+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/#\\\/schema\\\/person\\\/7a672563f269eb009b1eaefd0625ae36\"},\"description\":\"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#primaryimage\",\"url\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2023\\\/10\\\/26041602\\\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg\",\"contentUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2023\\\/10\\\/26041602\\\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg\",\"width\":2560,\"height\":1440,\"caption\":\"Red Flags in Production Service Agreements\u00a0| LegalVision UK\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/franchising\\\/franchise-marketing-fee\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/legalvision.co.uk\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Franchising Articles\",\"item\":\"https:\\\/\\\/legalvision.co.uk\\\/category\\\/franchising\\\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"What is a Franchise Marketing Fee?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/#website\",\"url\":\"https:\\\/\\\/legalvision.co.uk\\\/\",\"name\":\"LegalVision UK\",\"description\":\"LegalVision is a commercial law firm in the UK with a commitment to innovation\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/legalvision.co.uk\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/legalvision.co.uk\\\/#\\\/schema\\\/person\\\/7a672563f269eb009b1eaefd0625ae36\",\"name\":\"Jessica Drew\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2022\\\/03\\\/12052028\\\/LegalVision_square_logo-150x150.png\",\"url\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2022\\\/03\\\/12052028\\\/LegalVision_square_logo-150x150.png\",\"contentUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/4\\\/2022\\\/03\\\/12052028\\\/LegalVision_square_logo-150x150.png\",\"caption\":\"Jessica Drew\"},\"description\":\"Jessica is a Legal Content Writer at Legal Vision. She is currently studying for a PhD in international law and has specific expertise in international law, migration and climate change. She holds a first-class LLB and LLM degrees. In addition to studying for her third Law degree, Jessica teaches Law on the LLB Law modules at the university where she is studying for her PhD. She is also a Director of a charity which supports asylum seekers and refugees. Qualifications: PhD, Law (Underway), Edge Hill University, Masters of Laws - LLM, International Human Rights Law, University of Liverpool, Bachelor of Laws - LLB, Edge Hill University.\",\"sameAs\":[\"https:\\\/\\\/www.linkedin.com\\\/in\\\/jessica-d-16931492\\\/\"],\"url\":\"https:\\\/\\\/legalvision.co.uk\\\/author\\\/jessicadrew\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"What is a Franchise Marketing Fee? | LegalVision UK","description":"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/","og_locale":"en_GB","og_type":"article","og_title":"What is a Franchise Marketing Fee? | LegalVision UK","og_description":"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.","og_url":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/","og_site_name":"LegalVision UK","article_publisher":"https:\/\/www.facebook.com\/LegalVision","article_published_time":"2023-12-21T22:57:15+00:00","article_modified_time":"2024-05-21T23:36:26+00:00","og_image":[{"width":2560,"height":1440,"url":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg","type":"image\/jpeg"}],"author":"Jessica Drew","twitter_card":"summary_large_image","twitter_creator":"@LegalVision_law","twitter_site":"@LegalVision_law","twitter_misc":{"Written by":"Jessica Drew","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#article","isPartOf":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/"},"author":{"name":"Jessica Drew","@id":"https:\/\/legalvision.co.uk\/#\/schema\/person\/7a672563f269eb009b1eaefd0625ae36"},"headline":"What is a Franchise Marketing Fee?","datePublished":"2023-12-21T22:57:15+00:00","dateModified":"2024-05-21T23:36:26+00:00","mainEntityOfPage":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/"},"wordCount":720,"image":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#primaryimage"},"thumbnailUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg","keywords":["franchise fees","marketing","franchise marketing fee","franchise fee"],"articleSection":["Franchising Articles"],"inLanguage":"en-GB"},{"@type":"WebPage","@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/","url":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/","name":"What is a Franchise Marketing Fee? | LegalVision UK","isPartOf":{"@id":"https:\/\/legalvision.co.uk\/#website"},"primaryImageOfPage":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#primaryimage"},"image":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#primaryimage"},"thumbnailUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg","datePublished":"2023-12-21T22:57:15+00:00","dateModified":"2024-05-21T23:36:26+00:00","author":{"@id":"https:\/\/legalvision.co.uk\/#\/schema\/person\/7a672563f269eb009b1eaefd0625ae36"},"description":"Most franchisors charge a marketing fee to promote the brand and conduct more extensive advertising for the franchise network.","breadcrumb":{"@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/"]}]},{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#primaryimage","url":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg","contentUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/10\/26041602\/sam-mcghee-KieCLNzKoBo-unsplash-scaled.jpg","width":2560,"height":1440,"caption":"Red Flags in Production Service Agreements\u00a0| LegalVision UK"},{"@type":"BreadcrumbList","@id":"https:\/\/legalvision.co.uk\/franchising\/franchise-marketing-fee\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/legalvision.co.uk\/"},{"@type":"ListItem","position":2,"name":"Franchising Articles","item":"https:\/\/legalvision.co.uk\/category\/franchising\/"},{"@type":"ListItem","position":3,"name":"What is a Franchise Marketing Fee?"}]},{"@type":"WebSite","@id":"https:\/\/legalvision.co.uk\/#website","url":"https:\/\/legalvision.co.uk\/","name":"LegalVision UK","description":"LegalVision is a commercial law firm in the UK with a commitment to innovation","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/legalvision.co.uk\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-GB"},{"@type":"Person","@id":"https:\/\/legalvision.co.uk\/#\/schema\/person\/7a672563f269eb009b1eaefd0625ae36","name":"Jessica Drew","image":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2022\/03\/12052028\/LegalVision_square_logo-150x150.png","url":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2022\/03\/12052028\/LegalVision_square_logo-150x150.png","contentUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2022\/03\/12052028\/LegalVision_square_logo-150x150.png","caption":"Jessica Drew"},"description":"Jessica is a Legal Content Writer at Legal Vision. She is currently studying for a PhD in international law and has specific expertise in international law, migration and climate change. She holds a first-class LLB and LLM degrees. In addition to studying for her third Law degree, Jessica teaches Law on the LLB Law modules at the university where she is studying for her PhD. She is also a Director of a charity which supports asylum seekers and refugees. Qualifications: PhD, Law (Underway), Edge Hill University, Masters of Laws - LLM, International Human Rights Law, University of Liverpool, Bachelor of Laws - LLB, Edge Hill University.","sameAs":["https:\/\/www.linkedin.com\/in\/jessica-d-16931492\/"],"url":"https:\/\/legalvision.co.uk\/author\/jessicadrew\/"}]}},"_links":{"self":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/185601","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/users\/13435"}],"replies":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/comments?post=185601"}],"version-history":[{"count":6,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/185601\/revisions"}],"predecessor-version":[{"id":188178,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/185601\/revisions\/188178"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/media\/183582"}],"wp:attachment":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/media?parent=185601"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/categories?post=185601"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/tags?post=185601"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}