How often is the royalty fee payable for an Aw franchise?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to pay us a weekly royalty fee.
You agree to pay five percent (5%) of the Gross Revenue (as defined below) of the Papa Ray's Pizza Restaurant.
The royalty fee will be payable on Wednesday of each week for the period covering the previous Monday through Sunday via electronic transfer as described in Paragraph 10.7 below.
The royalty fee is not refundable, in whole or in part, under any circumstances.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the royalty fee is payable weekly. Specifically, the royalty fee, which is 5% of the Gross Revenue of the Papa Ray's Pizza Restaurant, is due on Wednesday of each week. This payment covers the period from the previous Monday through Sunday.
Aw requires that the royalty fee be paid via electronic transfer. Franchisees must authorize electronic transfers or debits from their business accounts to ensure timely payments. Franchisees must also submit a statement of Gross Revenue for the previous Monday through Sunday each Tuesday. If a franchisee fails to submit a Gross Revenue report, Aw may transfer an amount equal to 120% of the last transferred amount for royalty and Marketing Fund contributions.
This weekly payment schedule and electronic transfer requirement ensures that Aw receives ongoing revenue and maintains control over the payment process. Franchisees must maintain accurate records of their Gross Revenue and adhere to the electronic payment protocols to avoid penalties or disruptions in their banking relationships. The royalty fee is non-refundable under any circumstances.