What is the royalty rate for Bigfoot Forestry if gross sales are between $75,000.01 and $100,000?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
age-11-0">ITEM 6 OTHER FEES
| TYPE OF FEE 1 | 2, 3 AMOUNT | DUE DATE | REMARKS | |
|---|---|---|---|---|
| Greater of percentage-based royalty fee (7.0% - 4.5% of Gross Sales depending on | The minimum after signing the Franchise have not opened). The minimum monthly is (a) $500 for signing and (b) $750 within higher monthly Gross Sales brackets: | royalty fee begins the 4th full month Agreement (even if you royalty fee the 4th, 5th & 6th full months after for the rest of the term. |
Source: Item 6 — OTHER FEES (FDD pages 12–15)
What This Means (2025 FDD)
According to Bigfoot Forestry's 2025 Franchise Disclosure Document, the royalty fee is dependent on the gross sales bracket. The royalty fee is the greater of a percentage-based royalty fee or a minimum monthly royalty fee. For gross sales between $75,000.01 and $100,000, the royalty rate is 6.0%.
In addition to the percentage-based royalty fee, Bigfoot Forestry franchisees must also pay a minimum monthly royalty fee. The minimum monthly royalty fee begins the 4th full month after signing the Franchise Agreement, even if the franchisee has not opened. The minimum monthly royalty fee is (a) $500 for the 4th, 5th, & 6th full months after signing and (b) $750 for the rest of the term.
Prospective franchisees should be aware that the royalty fee is calculated on Gross Sales, which is defined as all gross sums billed or collected from all goods and services sold, plus all other sums collected from the operation of the business, including any advertising revenues, sponsorship fees, and business interruption insurance proceeds. Gross Sales excludes sales or use taxes, customer refunds, and revenues from the sale of equipment in the ordinary course of business. Franchisees must also send Bigfoot Forestry monthly Gross Sales reports.