When is the Buildingstars Administration Fee due?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
| NAME OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Administration Fee | 5% of Gross Sales | Deducted on the 15 th day of each month | See below for a more detailed explanation (Note 4) |
- Note 4: By the 15th of every month, you must pay us an Administration Fee equal to 5% of the Gross Sales of the previous month. We will withhold the Administrative Fee from the amount of billings which we collect on your behalf.
Source: Item 6 — OTHER FEES\ (FDD pages 14–16)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the Administration Fee is due on the 15th day of each month. This fee is calculated as 5% of the Gross Sales from the previous month. Buildingstars withholds this fee from the billings they collect on behalf of the franchisee.
For a prospective Buildingstars franchisee, this means that 5% of their gross sales will be deducted monthly to cover administrative costs. Gross Sales include all money or property earned from the business operation, including fees and charges for services and goods sold, but excludes applicable sales, use, or service taxes and refunds given to customers. Gross Sales are calculated when the services or products are delivered or rendered.
It is important for franchisees to understand how Gross Sales are defined, as this directly impacts the calculation of the Administration Fee. Franchisees should ensure they factor this ongoing fee into their financial projections and business planning. The consistent monthly deduction of the Administration Fee impacts the franchisee's cash flow, so understanding the timing and calculation is crucial for financial management.