factual

When is the National Branding Fee for a Caring Transitions franchise due each month?

Caring_Transitions Franchise · 2025 FDD

Answer from 2025 FDD Document

in the franchise agreement for that Franchise.

  • 5.2 National Branding Fee. Franchisee shall pay, to the Fund established in accordance with Article 11 of this Agreement, a National Branding Fee of 2% of Franchisee's Gross Receipts for the preceding month, or $350.00 per month, whichever is greater. All Natio

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 41–49)

What This Means (2025 FDD)

According to Caring Transitions' 2025 Franchise Disclosure Document, the National Branding Fee is due on or before the fifth day of each month. The fee is calculated as 2% of the franchisee's Gross Receipts for the preceding month or $350.00, whichever is greater. This fee contributes to the National Branding Fund, which supports marketing and promotional activities for the Caring Transitions system.

However, a new Caring Transitions franchisee is not required to pay the National Branding Fee until the fifth day of the second calendar month immediately following the month in which the franchisee or their designated individual completes the initial training program. This grace period provides some financial relief during the initial startup phase. This exemption does not apply if the franchisee previously operated a Caring Transitions franchise under another agreement effective at least six months earlier or if the franchisee acquired the territory from another existing Caring Transitions franchisee.

It's important to note that Caring Transitions reserves the right to increase the National Branding Fee at its discretion. Any increase will become effective 30 days after the franchisee receives written notice. Late payments are subject to a fee of $100.00 or 10% of the amount due, whichever is greater, if not received within five days after the due date. Payments not received within thirty days after the due date will incur interest at a rate of 18% per annum, or the highest rate allowed by law, whichever is lower.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.