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Last week, the&nbsp;<a href="https://www.theguardian.com/technology/2022/nov/18/how-did-crypto-firm-ftx-collapse?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">failure of crypto exchange FTX</a> shocked the industry and made many experts wonder whether the end of cryptocurrency had finally arrived. The $32 billion company fell into bankruptcy basically overnight, coinciding with broader headwinds facing the tech industry due in large part to rising interest rates. Tech stocks have crashed, and nearly 800 tech companies have&nbsp;<a href="https://1851franchise.com/amazon-joins-long-list-of-tech-companies-laying-off-employees-opening-up-more-opportunities-for-franchisors-and-franchisees-2720377">laid off</a> more than 120,000 workers this year.&nbsp;<figure class="media"><div data-oembed-url="https://www.youtube.com/watch?v=AbgRB3arCpY"><div class="iframely-embed"><div class="iframely-responsive"><iframe src="//cdn.iframe.ly/api/iframe?app=1&amp;api_key=fd3b6b3731f34f55ba1fe3&amp;url=https%3A%2F%2Fwww.youtube.com%2Fwatch%3Fv%3DAbgRB3arCpY" frameborder="0" allow="autoplay; encrypted-media" allowfullscreen=""></iframe></div></div></div></figure>Over recent years, as interest in the blockchain gradually increased amongst the general public, several franchisors dipped their toes into the space by accepting Bitcoin as payment for franchising fees or offering limited&nbsp;<a href="https://1851franchise.com/dominos-wants-you-to-embrace-the-noid-through-its-nft-auction-2715971">NFTs to customers</a>.&nbsp;In April, for example, the fitness franchise&nbsp;<a href="https://sendmeatrainerfranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">Send Me A Trainer</a>&nbsp;<a href="https://www.prnewswire.com/news-releases/send-me-a-trainer-is-the-first-franchise-to-adopt-nfts-301524642.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">announced</a> that new franchisees would receive a complementary NFT in celebration of their investment. Chicken franchise&nbsp;<a href="https://chickncone.com/franchising/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">Chick’nCone</a> launched the minting of their NFT&nbsp;<a href="https://www.restaurantbusinessonline.com/financing/why-fast-casual-chicken-chain-selling-nfts-14500-piece?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">Chick’nCOIN</a> in February, which gave investors the opportunity to receive a portion of the franchise fees and royalties paid by the owner of a Chick’nCone restaurant opening in a particular trade area.Now, with&nbsp;<a href="https://www.livemint.com/market/cryptocurrency/bitcoin-prices-down-75-from-highs-cryptocurrency-crash-explained-11668054007245.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-collapse-of-ftx-could-impact-the-future-of-cryptocurrency-in-franchising-2720434" target="_blank" rel="nofollow">Bitcoin prices down 75%</a> lower than their previous all-time high, many franchisors who were on the fence about entering the world of crypto may be wise to wait and see how everything plays out.&nbsp;Related articles:<ul><li><a href="https://1851franchise.com/how-nfts-are-making-their-way-into-the-restaurant-space-2720032#stories">How NFTs Are Making Their Way Into the Restaurant Space</a></li><li><a href="https://1851franchise.com/mcdonalds-offers-free-nfts-to-celebrate-the-40th-anniversary-of-the-mcrib-2717024#stories">McDonald's Offers Free NFTs To Celebrate the 40th Anniversary of the McRib</a></li><li><a href="https://1851franchise.com/amazon-joins-long-list-of-tech-companies-laying-off-employees-opening-up-more-opportunities-for-franchisors-and-franchisees-2720377">Amazon Joins Long List of Tech Companies Laying Off Employees, Opening Up More Opportunities for Franchisors and Franchisees</a></li></ul>

How the Collapse of FTX Could Impact the Future of Cryptocurrency in Franchising 

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Although some brands were experimenting with how crypto and NFTs could play a role in franchise and royalty fees, the trend may become less popular as Bitcoin prices continue to drop rapidly.

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Benjamin Franklin Plumbing

This Benjamin Franklin Plumbing Franchisee Built a Family Business that is Opening Doors for Women Across the Trades

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Right at Home

Right at Home Franchisees Awarded Franchisee Excellence Award by Franchise Business Review

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How This Former Sales Executive Is Building Confident Kids Across Orange County With KidStrong

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Why This Orangetheory Operator Chose KidStrong As His Next Family-Business Venture in South Florida

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5 Common Mistakes First-Time Franchisees Make, And How to Avoid Them

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How much can franchisees make? It’s a question many prospective owners ask before investing in a franchise. While earnings tend to be driven by variables such as industry, location and general management skills, a proper understanding of the key factors driving profitability can help franchise owners develop expectations that are realistic.&nbsp;Multi-unit franchisee&nbsp;<a href="https://www.linkedin.com/in/mangesh-patel-9368569/">Mangesh Patel</a>, who’s readying the launch of six&nbsp;<a href="https://www.beefobradysfranchise.com/">Beef ‘O’ Brady’s</a> restaurant locations in the Macon, Georgia area, shares insights from his franchising experience.<h2>Understanding Franchise Income</h2>Keeping operational costs in check can have a major impact on overall earnings. Taking a proactive approach to expenses such as food and labor, as well as payroll and scheduling, can help align actual franchise income with general expectations for the business.“I just had a meeting with a couple of people, and they said, ‘You talked about a 25% profit margin, but I’m only doing 12%.’ So, I looked at the figures they sent me,” Patel said. “Their&nbsp;<a href="https://1851franchise.com/calculate-restaurant-franchise-profit-2730476">restaurant</a> food cost was running at 37%, which should be around 30%. The national average is about 32%. If I do things correctly, my average food cost needs to be at or below 30%. And payroll should run around 18%. But many people run 25 to 28%.”So,&nbsp;<a href="https://1851franchise.com/unraveling-franchise-earnings-how-much-can-you-really-make-2723935">how much can franchisees make</a>? Here are five areas to consider.<h2>Practical Tips for Prospective Franchisees</h2><ol><li>Control Costs From Day One:&nbsp;It’s important to monitor payroll, food and supply costs closely. Overstaffing and inefficiencies can quickly reduce profits.</li><li>Plan For The Opening Surge:&nbsp;Traffic within the first few months of opening is likely to be higher. It’s important to adjust staffing and inventory accordingly, and pay close attention to how those levels change as time goes on.</li><li>Invest In Training:&nbsp;Properly trained workers can help reduce waste and improve overall service, which has a direct effect on net income.</li><li>Understand Your Market:&nbsp;Each market is unique and revenue potential will vary depending upon location, demographics and competition.</li><li>Track Metrics Regularly:&nbsp;Food cost percentages, labor ratios and weekly sales data act as key indicators operations may need to be adjusted.</li></ol><h2>What Profitability Really Comes Down To</h2>Patel notes that if franchise owners manage labor and costs properly, it’s not impossible to achieve strong cash flow even in the first year, bucking some franchising trends.So,&nbsp;<a href="https://1851franchise.com/how-much-can-you-make-as-a-franchise-owner-2724761">how much can franchisees make</a>? While results tend to vary, careful planning, disciplined operations and a proactive approach to assessing initial costs are essential. But by grasping and guiding the elements that drive franchise profitability, franchise owners can maximize overall business earnings, scaling a business that’s sustainable financially over the long term.Want to learn more about franchise opportunities on 1851 Franchise? Be sure to visit our&nbsp;<a href="https://1851franchise.com/power-rankings">Power Rankings</a> to read more on brands making moves.

How much can franchisees make? This guide explains what drives franchise earnings and how to manage costs, with expert tips from multi-unit owner Mangesh Patel on maximizing your franchise income.

How Much Can Franchisees Make? A Guide for Prospective Franchise Owners

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JEI Learning Center Franchise Deep Dive 2025 - 1851 Franchise

Franchise Opportunity Deep Dive: The low-cost supplemental education franchise leverages diagnostic testing and a unique Self-Learning Method to support students’ growth.

How the Collapse of FTX Could Impact the Future of Cryptocurrency in Franchising

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