When is the royalty fee payable to Angry Chickz?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
Royalty revenue – Royalty revenues represent royalties earned from each of the franchisees in accordance with the franchise disclosure document and the franchise agreement for use of the Angry Chickz name, menus, processes, and procedures. The royalty rate in the franchise agreement is up to seven percent of the gross sales of each restaurant operated by each franchisee. Royalty fee revenue from franchised restaurants is recognized in the period earned and is payable to the Company weekly or monthly when the sales are reported by the franchisees.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, royalty fee revenue from franchised restaurants is recognized in the period earned and is payable to Angry Chickz weekly or monthly. The payment schedule is determined by when the sales are reported by the franchisees.
This means that as an Angry Chickz franchisee, you will be required to remit royalty payments either weekly or monthly, depending on the reporting schedule outlined in the franchise agreement. This payment is for the use of the Angry Chickz name, menus, processes, and procedures.
The royalty rate can be up to seven percent of the gross sales of each restaurant operated by the franchisee. It is important to note that the specific royalty rate will be detailed in the franchise agreement. Franchisees should ensure they understand the reporting and payment schedule to avoid any late payment penalties or breaches of contract.