How often is the royalty fee paid by a Buona franchisee?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
This Marketing Fund contribution is due weekly (or on such other basis as may be set forth in the Manual or otherwise agreed to in writing by Franchisor) along with the royalty fee for the Gross Sales for the preceding week.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the royalty fee is due weekly, along with the Marketing Fund contribution, based on the Gross Sales for the preceding week. However, the FDD also states that the payment schedule may be different if specified in the Manual or otherwise agreed to in writing by Buona.
In addition to the royalty fee, Buona franchisees must also contribute to a Marketing Fund. This contribution is up to 2.5% of the Gross Sales and is also due weekly, unless otherwise specified. Buona will provide 60 days' notice before any changes to the Marketing Fund contribution.
It is important for prospective franchisees to review Section 3.5 of the Franchise Agreement and the relevant sections of the Manual to fully understand the specific requirements and potential variations in the royalty fee payment schedule. Franchisees should also clarify with Buona any uncertainties regarding the payment terms before signing the agreement.