How often is the Royalty fee paid to Burneys Sweets More?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
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- (b) Franchisee Account. On each Due Date, Franchisee must pay Franchisor the fees set forth above, as well as any other amounts due to Franchisor under this Agreement or any other agreement between Franchisor and Franchisee. Franchisor may instead transfer these amounts due from the Franchisee's bank operating account ("Account"). If a transfer from Franchisee's Account is refused, an administrative fee of Twenty-Five Dollars ($25) may be assessed, as well as reimbursement to Franchisor of any fee its bank charges for uncollected deposit funds. If Franchisee has not reported Gross Sales to Franchisor for any fiscal period, Franchisor may transfer from the Account an amount equal to the average of the preceding three (3) months' Gross Sales. If, at any time, Franchisor determines that Franchisee has underreported its Gross Sales, or underpaid the Royalty or other amounts due to Franchisor under this Agreement, or any other agreement, Franchisor may initiate an immediate transfer from the Account in the appropriate amount in accordance with the foregoing procedure, including interest as provided in this Agreement. Any overpayment will be credited to the Account effective as of the first reporting date after Franchisor and Franchisee determine that such credit is due. Alternatively, Franchisor shall have the right in lieu of the Royalty report submission procedure outlined above to obtain the Gross Sales directly from electronic communication with Franchisee's point-of-sale sys
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Burneys Sweets More's 2025 Franchise Disclosure Document, franchisees must pay the fees outlined in the franchise agreement on each 'Due Date.' The document also states that Burneys Sweets More may transfer amounts due from the franchisee's bank operating account.
If a transfer from the franchisee's account is refused, Burneys Sweets More may assess an administrative fee of $25, along with reimbursement for any fees the bank charges for uncollected deposit funds. If the franchisee has not reported gross sales for any fiscal period, Burneys Sweets More may transfer an amount equal to the average of the preceding three months' gross sales from the franchisee's account.
Additionally, if Burneys Sweets More determines that a franchisee has underreported gross sales or underpaid royalties or other amounts, they may initiate an immediate transfer from the franchisee's account for the appropriate amount, including interest as provided in the agreement. Any overpayment will be credited to the account effective as of the first reporting date after Burneys Sweets More and the franchisee determine that such credit is due. The FDD also mentions that Burneys Sweets More has the right to obtain gross sales directly from electronic communication with the franchisee's point-of-sale system, as an alternative to the royalty report submission procedure.