When is the Optional Owner Growth Property Commission fee due to Casiola?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee (Note 1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Interim Management Service | $500 per day plus actual costs incurred by us | As invoiced | Payable if we elect to manage the Franchised Business due to a failure by you to have the Franchised Business managed by an authorized Managing Owner or Manager. |
| Optional Owner Growth Property Commission | $1,500 per contract for properties with a total annual revenue up to $40,000; $2,500 per contract for properties with total annual revenues between $40,000 and $80,000; $3,500 per contract for properties with total annual revenue exceeding $80,000. |
Source: Item 6 — OTHER FEES (FDD pages 12–18)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, the Optional Owner Growth Property Commission is due 'as invoiced' and must be paid within 30 days of signing a homeowner contract if the franchisee requests Casiola's optional services to sign homeowner contracts on their behalf.
The amount of this commission varies depending on the total annual revenue of the property. For properties with total annual revenue up to $40,000, the fee is $1,500 per contract. For properties with total annual revenues between $40,000 and $80,000, the fee is $2,500 per contract. For properties with total annual revenue exceeding $80,000, the fee is $3,500 per contract.
This fee is optional, meaning a Casiola franchisee only incurs it if they choose to utilize Casiola's services for signing homeowner contracts. The franchisee should be aware of the revenue tiers and associated commission fees to accurately project costs when considering this optional service. Paying 'as invoiced' and within 30 days of signing is a fairly standard payment term in franchising, but franchisees should ensure they have sufficient cash flow to cover these costs when they arise.