Franchise Sales & Brokerage

Help franchisors sell franchises and earn commissions

Startup Cost
$8,000-$30,000
Difficulty
Intermediate
Time to Profit
6-15 months
Profit Potential
$7,000-$42,000/month

Overview

Franchise brokers earn $80,000-$500,000 annually from commissions.

In 2025, franchisors pay brokers to find qualified franchisees.

Revenue from franchise sale commissions (typically 30-50% of franchise fee, $8,000-$25,000 per placement), ongoing royalty participation (some deals), lead generation fees, and multi-unit development commissions.

Services include franchise opportunity consulting, franchisee candidate qualification, franchisor matching and presentations, franchise due diligence support, funding and SBA loan assistance, and franchise closing support.

Successful brokers represent quality franchise brands, qualify franchisee candidates thoroughly, understand franchise evaluation process, help candidates secure funding, and build franchisor relationships.

Aspiring franchisees and franchise investors as clients.

Marketing through franchise portals, paid advertising, content marketing, franchise events, referral partnerships, and franchise education.

Required Skills

  • Franchise Sales
  • Candidate Qualification
  • Franchise Industry Knowledge
  • Relationship Building
  • Consulting
  • SBA Lending

Pros and Cons

Pros

  • High commissions per franchise sale
  • Represent multiple franchise brands
  • Growing franchise industry
  • Help entrepreneurs find right franchise
  • Can build residual royalty income

Cons

  • Commission-based variable income
  • Long sales cycles (3-9 months)
  • Not all candidates close
  • Building brand relationships takes time
  • Competition from other brokers

How to Get Started

  1. Learn franchise industry and brands
  2. Join franchise broker networks
  3. Build relationships with franchisors
  4. Market franchise brokerage services
  5. Qualify and consult with franchise candidates
  6. Present franchise opportunities and FDDs
  7. Support through funding and closing

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