this post was submitted on 16 Jan 2024
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chapotraphouse

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[–] [email protected] 14 points 2 years ago (2 children)

I think they actually get almost all of the profits of the store. The fast food company makes money from the franchise license, rent, and supplying the equipment and food

[–] [email protected] 18 points 2 years ago (2 children)

Correct. The corp gets paid first out of the gross, totally protected. Franchisees only wiggle room to increase their profit is labor costs.

[–] [email protected] 16 points 2 years ago (1 children)

Technically they could also just increase revenue with better marketing and customer service but we all know they would never try that first over slashing employee operating expenses

[–] [email protected] 11 points 2 years ago

Well yeah, that would actually take work and require them to spend money. Fucking with prols is free, and they enjoy it

[–] [email protected] 7 points 2 years ago

yes, though restaurants are notorious for low profit margins