From what source does All Team withhold fees owed by the franchisee?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
The Continuing License Fees, the Advertising Fees, Technology Fees, the fees due under the Funding Agreement (Funding Fee and other charges), the fees due under the Processing Agreement (Processing Fee and other charges) and any other amounts due to ATFC (individually or collectively referred to as "Fees") will be withheld from the Temporary Employment Gross Billings collected by ATFC on FRANCHISEE's behalf prior to forwarding these collections to FRANCHISEE.
In the event that there are insufficient funds from the collection to pay these amounts, ATFC also have the right to require FRANCHISEE to pay any of the Fees by electronic funds transfer ("EFT") which electronically debits from FRANCHISEE's bank account the fees described herein or by such other manner which ATFC may designate from time to time.
Any payment or report not received by ATFC on or before its due date shall be deemed overdue.
FRANCHISEE shall comply with the procedures specified in the Manual or as otherwise communicated for such EFT program, and FRANCHISEE shall perform the acts and sign the documents, including authorization forms that are required to accomplish payment by EFT.
In addition, FRANCHISEE shall pay all costs associated with utilizing any payment program established by ATFC.
FRANCHISEE is also responsible for all credit card fees.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, All Team withholds fees owed by the franchisee from the Temporary Employment Gross Billings it collects on the franchisee's behalf. These fees include Continuing License Fees, Advertising Fees, Technology Fees, fees due under the Funding Agreement, fees due under the Processing Agreement, and any other amounts due to All Team. After withholding these fees, All Team then forwards the remaining balance to the franchisee.
If the funds collected from Temporary Employment Gross Billings are insufficient to cover the fees, All Team has the right to require the franchisee to pay the outstanding balance via electronic funds transfer (EFT) or any other method designated by All Team. The franchisee is also responsible for covering all costs associated with any payment program established by All Team, as well as any credit card fees.
Franchisees must also be aware that All Team can charge interest on late payments. If a franchisee under-reports Temporary Employment Gross Billings and/or Permanent Placement Gross Billings, they will be required to reimburse All Team for the underpaid fees, plus interest. Additionally, if an audit reveals that any fees paid to All Team were deficient by more than 1%, the franchisee must promptly pay the due amount and cover all costs and expenses incurred by All Team in conducting the audit.