What period does the weekly royalty fee cover 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 weekly royalty fee covers the period from Monday through Sunday. Franchisees are required to pay this royalty fee every Wednesday. The amount due is calculated as five percent of the Gross Revenue generated by the Papa Ray's Pizza Restaurant during that Monday-to-Sunday period.
This means that Aw franchisees must accurately track their Gross Revenue each week to ensure they pay the correct royalty fee. They must also submit a statement of Gross Revenue to Aw every Tuesday. The payment is made via electronic transfer, and the funds must be available for withdrawal by noon on Wednesday.
If a franchisee fails to submit the Gross Revenue report, Aw has the right to transfer or debit an amount equal to 120% of the last payment. This policy incentivizes franchisees to submit their reports on time and accurately. The royalty fee is not refundable under any circumstances.