How must the Marketing fee be paid to Annex Brands?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee (1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty fee | 5% of Gross Receipts (2) | Each Wednesday, after the close of business, for the previous week ending Saturday | We may establish other due dates. You must report Gross Receipts each Saturday after the close of business before midnight for the week ending on that Saturday. You must pay us by automatic bank draft. (3) |
| Marketing fee (4) | 2% of Gross Receipts (2) | Each Wednesday, after the close of business, for the previous week ending Saturday | We may establish other due dates. You must report Gross Receipts each Saturday after the close of business before midnight for the week ending on that Saturday. You must pay us by automatic bank draft. (3) We administer a system-wide marketing fund. |
Source: Item 6 — OTHER FEES (FDD pages 24–32)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, the marketing fee is 2% of gross receipts and is due each Wednesday after the close of business for the previous week ending Saturday. Franchisees must report gross receipts each Saturday after the close of business before midnight for the week ending on that Saturday. Payment to Annex Brands must be made via automatic bank draft. Annex Brands may establish other due dates for the marketing fee.
The marketing fee contributes to a system-wide marketing fund managed by Annex Brands. This fee is separate from the new center/new owner marketing program deposit and the continuing marketing program, which are detailed in Items 5 and 11 of the FDD.
It is important for prospective franchisees to understand that Annex Brands retains the right to modify the due dates for the marketing fee. Franchisees must ensure they have sufficient funds in their authorized bank accounts to meet their payment obligations as outlined in the franchise agreement. Additionally, franchisees are required to participate in Annex Brands' current electronic reporting system.