factual

When does the Royalty payment obligation begin for a Beverly Anns Cookie franchise?

Beverly_Anns_Cookie Franchise · 2025 FDD

Answer from 2025 FDD Document

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  1. Royalty. Beginning on the opening date of your Beverly Ann's Business, and continuing for the term of this Franchise Agreement, including any interim period between franchise agreements, you agree to pay us the Royalty listed below annually in in Installment Payments ("GRM/GRT Royalty Schedule"):
Time Period* Total Royalty GRM/GRT Royalty Schedule (If you make 3 installment payments per year) GRM/GRT Schedule (If you make 6 installment payments per year) Royalty GRM/GRT Schedule (If you make 9 installment payments per year) Royalty
Years 1-2 $3,000 June 30: July 31: August 31: $1,000 $1,000 $1,000 May 31: June 30: July 31: August 31: September 30: October 31: $500 $500 $500 $500 $500 $500 April 30: May 31: June 30: July 31: August 31: September 30: October 31: November 30: December 31: $333 $333 $334 $333 $333 $334 $333 $333 $334
Years

Source: Item 6 — OTHER FEES (FDD pages 15–24)

What This Means (2025 FDD)

According to Beverly Anns Cookie's 2025 Franchise Disclosure Document, the royalty payment obligation begins on the opening date of your Beverly Ann's Business. This obligation continues for the entire term of the Franchise Agreement, including any interim period between franchise agreements.

Beverly Anns Cookie franchisees must pay the royalty annually in Installment Payments, according to the GRM/GRT Royalty Schedule. The specific amounts and due dates depend on whether the franchisee chooses to make 3, 6, or 9 installment payments per year.

For example, during the first two years, if a franchisee chooses to make 3 installment payments, they will pay $1,000 on June 30th, $1,000 on July 31st, and $1,000 on August 31st, for a total of $3,000 annually. If they choose 6 installment payments, they will pay $500 at the end of each month from May to October. If they choose 9 installment payments, they will pay between $333 and $334 at the end of each month from April to December. The royalty amounts increase in years 3-6 and years 7-10.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.