What is the due date for the Royalty Fee for Capriottis Sandwich Shop?
Capriottis_Sandwich_Shop Franchise · 2025 FDDAnswer from 2025 FDD Document
| Column 1 | Column 2 | Column 3 | Column 4 |
|---|---|---|---|
| Type of Fee(1) | Amount | Due Date | Remarks |
| Royalty Fee | 6% to 7% of | Currently payable the | Upon 30 days' written notice, |
| monthly Gross | 5th day after the end of | we may begin calculating the | |
| Sales(2,3) | each calendar month | Royalty Fee (a) bi-weekly as | |
| along with the Royalty | of the 15th and the last day of |
Source: Item 6 — OTHER FEES (FDD pages 13–18)
What This Means (2025 FDD)
According to Capriottis Sandwich Shop's 2025 Franchise Disclosure Document, the Royalty Fee is currently payable on the 5th day after the end of each calendar month. The royalty fee ranges from 6% to 7% of monthly Gross Sales. The specific percentage depends on whether the franchisee signs individual Franchise Agreements to operate 1 to 2 Restaurants (7%) or a Development Rights Agreement to operate 3 or more Restaurants (6%).
However, Capriottis Sandwich Shop retains the right to modify the payment schedule. With 30 days' written notice, they may begin calculating the Royalty Fee bi-weekly, with payments due on the 15th and the last day of each month. This change would require franchisees to remit royalty payments twice per month instead of once.
It is important for prospective Capriottis Sandwich Shop franchisees to understand these payment terms and be prepared for potential changes to the due date. They should also factor the royalty fee percentage into their financial projections, considering their development plans and the potential for bi-weekly payments.