What are the components of the Continuing License Fees for an All Team franchise?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Continuing License Fees (Note 1) | The greater of Minimum Fee ($600-$1,250) or 3% of Temporary Employment Gross Billings and 8% of Permanent Placement Gross Billings | By noon Wednesday based on the prior week's Temporary Employment Gross Billings Permanent Placement Gross Billings are due monthly by the 15th day of each month | The Continuing License Fees are deducted from the Temporary Gross Billings collected by us under the Funding Agreement. |
Note 1 – Continuing License Fees. Temporary Employment Gross Billings means all of the gross billings (less any Customer Adjustments) to customers derived from the Agency's Temporary Service Business. Permanent Placement Gross Billings means all billings from the Agency's Permanent Placement Business, including but not limited to, receipts from job placements, recruiting, conversions of temporary employment and any other similar function or related business, less any Customer Adjustments. "Customer Adjustment" is defined as any amount of credit or refund which you issue to a customer due to a customer complaint that is reasonably necessary to maintain customer relations. Customer Adjustment does not include credit for bad debts or uncollectible accounts which are your sole responsibility. The Minimum Fees are $600 per week for the first year of operations, $950 per week for the second year of operations and $1,250 per week for the remainder of the term of the Franchise Agreement.
Source: Item 6 — OTHER FEES\ (FDD pages 10–13)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the Continuing License Fees are comprised of a minimum fee and a percentage of gross billings, with the franchisee paying whichever is greater. The minimum fee varies based on the number of years the franchise has been in operation, starting at $600 per week for the first year, increasing to $950 per week for the second year, and then to $1,250 per week for each subsequent year.
In addition to the minimum fee, All Team franchisees must also pay a percentage of their gross billings. This includes 3% of Temporary Employment Gross Billings and 8% of Permanent Placement Gross Billings. Temporary Employment Gross Billings encompasses all gross billings from the agency's temporary service business, while Permanent Placement Gross Billings includes all billings from the agency's permanent placement business, such as job placements and recruiting. Both are less any Customer Adjustments.
Customer Adjustments are defined as any credit or refund issued to a customer due to a complaint that is reasonably necessary to maintain customer relations. However, Customer Adjustments do not include credit for bad debts or uncollectible accounts, which remain the franchisee's sole responsibility. The Continuing License Fees are deducted from the Temporary Gross Billings collected by All Team under the Funding Agreement. These fees are due by noon each Wednesday based on the prior week's Temporary Employment Gross Billings, while Permanent Placement Gross Billings are due monthly by the 15th day of each month.