Is the Body20 Royalty Fee calculated weekly or monthly?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee (2) | 8% of the Gross Sales of the Studio. | Currently due weekly by the 5th of each month (the "Payment Due Date") | See Note 2 for the definition of Gross Sales. |
Source: Item 6 — OTHER FEES (FDD pages 19–26)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, the Royalty Fee is calculated as 8% of the Gross Sales of the studio. While the calculation is based on Gross Sales, the payments are currently due weekly. Specifically, the payments are due by the 5th of each month, which Body20 refers to as the Payment Due Date.
This weekly payment schedule means that Body20 franchisees need to closely monitor their sales and ensure they have sufficient cash flow to meet this obligation. Unlike some franchises that collect royalties monthly, Body20's more frequent payment schedule requires more diligent financial management. Franchisees should factor this into their financial projections and business planning.
Gross Sales are defined as all revenue received from operating the studio, including cash, credit, and other transactions, but excluding returns, credits, and sales taxes. Franchisees cannot deduct payment provider fees from their Gross Sales calculation. This comprehensive definition of Gross Sales ensures that Body20 receives its royalty on all income generated by the studio, regardless of the payment method.