When is the Brand Development Fund Fee due for Casiola franchisees?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
he "Brand Development Fund Fee"), provided, however, Franchisee will not be required to contribute more than 2% of the Gross Rental Revenues+ of the Franchised Business for each monthly Accounting Period or, instantly on a per transaction basis;
- (2) Franchisor will provide Franchisee with written notice of the percentage of Franchisee's gross Commission+ Fees that Franchisee is required to contribute to the Brand Development Fund. Upon such written notice to Franchisee, the percentage of Franchisee's gross Commission+ Fees to be paid by Franchisee to the Brand Development Fund will be applicable for each and every monthly Accounting Period thereafter during the Term until otherwise designated by Franchisor in writing. The Brand Development Fund Fee shall be paid to Franchisor on the Due Date and in accordance with the payment terms and method set forth in Article 5.B. for the payment of Royalty Fees or as otherwise designated by Franchisor;
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, the Brand Development Fund Fee is due on the Due Date. The payment terms and method are the same as those outlined in Article 5.B for Royalty Fees, unless Casiola specifies otherwise.
Casiola may adjust the percentage of gross Commission+ Fees that franchisees must pay to the Brand Development Fund. Casiola will provide written notice to franchisees before any changes take effect. The adjusted percentage will then apply to each monthly Accounting Period for the remainder of the Term, unless Casiola provides further written notice.
It's important to note that Casiola Businesses owned by Casiola or its affiliates are not required to pay the Brand Development Fund Fee or contribute to the Brand Development Fund. Franchisees are obligated to participate in all advertising, marketing, promotions, research, and public relations programs instituted by the Brand Development Fund.