Monopoly Licenses

In countries where many guilds have been formed, the guild will claim the right to regulate trade in its own area. As a rule, the crown will recognize this right and allow the guild to set prices, determine who is permitted to sell their goods or services, and establish minimum quality standards. Of course, the king expects to be compensated for allowing the guilds such power.

This fee varies from place to place and depends on the goods and services provided, but 5% of the profits is customary. While seemingly high, the guild always boosts prices much higher than normal and guild members end up making more money than they would have without such assistance.

In countries where such monopolies are allowed, the king usually must personally grant such a monopoly, and does so only to a favored friend or someone who has helped the kingdom in one way or another. The guild leadership is only required to contribute 10 gold pieces annually to maintain their monopoly in a given area, but often the personal gifts and free services accorded the king by the guild (privately, of course) usually account for a great deal more. However, the aforementioned price gauging and control over the local market still compensates for the lost revenue.