Our CEO, Eric Stites, was recently featured in Business.com's Entrepreneurship section discussing the financial side of owning a franchise business. Among other things, Eric noted that it's important not to confuse "income" and "profit," as the two can be quite different in the end.
Here's an excerpt:
"In many cases, a franchisee’s personal income is significantly lower than the profits that their business might generate. This is due to a variety of things including loan payments, required business reinvestment, and taxes; all of which get paid out business profits before a franchise owner can 'pay themselves.'
Having a good understanding of how cash flows through a business is critical before investing in any franchise."