THE AUCTUS TEAM

Our financial wizard and numbers guru with 20+ years of experience. Commercial banking professional at citibankand merrill lynch. Involved with multiple growing businesses and overseeing launch of various franchise networks.

STEWART NEWMAN

Finance

18 years of experience in brand building, franchise operations, and kpi development. Member of original massage envy franchise team during high growth period. Oversaw operations for a number of franchise concepts including the joint…chiropractic.

JOSHUA REED

Operations

Business development, sales, and marketing professional. Franchise demand generation strategy. Experience helping businesses from pre-franchise to awarded unit.

ANDRES GAVIRIA

Franchise Development

WHY FRANCHISE

Additional revenue streams
Expand with less capital
Scale with entrepreneurs you selects
Reduced financial exposure

Accelerate growth of brand
Provide consistent brand standards and operations
Create distribution of products
Attractive valuation

FRANCHISE FEE

Essentially, the franchise fee is like a ticket. That grants the franchisee entry into the. Franchisor’s system while providing revenue. To allocate towards the daily operation of the franchise company.

It’s like a subscription fee that the franchisee pays to remain part of the franchise network and to receive the benefits associated with it.

Ancillary products provide the franchisor with additional income streams while also helping to ensure consistency and quality across the franchise network.

ROYALTIES

This is the initial fee that a franchisee pays to the franchisor to acquire the rights to use the franchisor’s business model, intellectual property, brand name, and support services.

Royalties are ongoing payments made by the franchisee to the franchisor. They’re typically calculated as a percentage of the franchisee’s gross sales.

Ancillary items refers to ways a franchisor can generate revenue above and beyond the franchise fee and royalties.

ANCILLARY ITEMS

It’s a one-time charge that helps offset the costs related to setting up the ranchise, providing training, support, and initial marketing and promotion.

This serves as ongoing continuous income for the franchise company in exchange for providing ongoing services and support to the franchisee, and for allowing the continued use of the franchisor’s brand and system.

This could include proprietary products that franchisees are required to purchase from the franchisor or approved suppliers (for instance, a specific brand of coffee beans in a coffee shop franchise), software systems for managing operations, or even additional training programs.