What is the minimum Continuing License Fee for an All Team franchise?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
are nonrefundable.
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
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 Fee has a minimum component. The minimum fee is $600 per week for the first year of operations. This increases to $950 per week for the second year. After the second year, the minimum weekly fee is $1,250 for the remainder of the franchise term.
In addition to the minimum fee, All Team also collects a percentage of gross billings. The franchisee will pay the greater of the minimum fee or 3% of Temporary Employment Gross Billings plus 8% of Permanent Placement Gross Billings. Temporary Employment Gross Billings include all gross billings less any Customer Adjustments. Permanent Placement Gross Billings include all billings from the Agency's Permanent Placement 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.
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 on 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.
For a prospective All Team franchisee, it's crucial to understand how these fees impact profitability, especially in the early years when the minimum fee may represent a significant portion of revenue. Franchisees should carefully project their expected gross billings to determine whether the minimum fee or the percentage of gross billings will apply, and factor this into their financial planning.