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Summary

The reality of opening a frozen yogurt store and the financial expectations that come with it are discussed in this text.

Key points:

  • The average store makes between $750,000 and $800,000 a year.
  • The owner's take-home pay is much lower due to various factors.
  • Franchises typically have a 6% cut of the top line, accounting for 60% of the owner's take-home pay if the store runs on a 10% margin.
  • Franchises structure their fees to ensure sustainability and potential expansion, not to make owners rich.
  • Franchises aim to beat the return on capital of the stock market by a significant margin.
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