What are the components of the Continuing License Fees that an All Team franchisee must pay?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
ny and all claims against ATFC and its affiliates and their respective shareholders, officers, directors, employees, agents, successors and assigns arising under or from this Agreement and any related agreement between the parties or under any applicable law, rule or regulation.
V. FEES
- A. Continuing License Fees. FRANCHISEE shall pay to ATFC Continuing License Fees equal to:
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- The greater of: (i) three percent (3%) of Temporary Employment Gross Billings or (ii) the Minimum Fee. The Minimum Fee is $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 this Agreement. This portion of the Continuing License Fees shall be paid on a weekly basis by the Friday of the following week in which the sales were made; and
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- Eight percent (8%) of the Permanent Placement Gross Billings. This portion of the Continuing License Fee shall be paid on a monthly basis by the fifteenth (15th) day of the month fo
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Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the Continuing License Fees consist of two main components related to the franchisee's gross billings. For Temporary Employment Gross Billings, the franchisee must pay the greater of either 3% of the gross billings or a minimum fee. The minimum fee starts at $600 per week for the first year, increases to $950 per week for the second year, and then rises to $1,250 per week for the remainder of the franchise term. This portion of the Continuing License Fees is paid weekly, specifically by the Friday of the following week in which the sales were made.
The second component of the Continuing License Fees applies to Permanent Placement Gross Billings. For this, the franchisee is required to pay 8% of the gross billings. This payment is made monthly, due by the 15th day of the month following the month in which the sales occurred.
It's important to note that these Continuing License Fees must be paid promptly without any deductions or set-offs, regardless of All Team's performance of its obligations. This means franchisees cannot withhold payments due to any perceived non-performance by All Team. Understanding these components and their payment schedules is crucial for managing the financial obligations of an All Team franchise.