What is the due date for the Royalty Fee for a Christies International Real Estate franchise?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee (Note 1) | Amount (Note 2) | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee | 3% to 6% of Gross Revenues, depending on whether your Protected Territory is exclusive and other factors | Monthly | Paid via Electronic Funds Transfer (EFT). You and we will negotiate your Royalty Fee, which will vary based on whether your Protected Territory is exclusive and other factors. It will range between 3% and 6%. |
Source: Item 6 — OTHER FEES (FDD pages 14–17)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, the Royalty Fee is due monthly. The Royalty Fee is paid via Electronic Funds Transfer (EFT). The Royalty Fee ranges from 3% to 6% of Gross Revenues, and the specific percentage depends on factors such as whether the franchisee's Protected Territory is exclusive.
Christies International Real Estate requires franchisees to sign and deliver bank documents to permit the company to debit the franchisee's bank account via ACH Electronic Transfer for all fees and payments due to them or their affiliates. Franchisees must notify Christies International Real Estate within one day if they change their bank account or transfer it to a different bank, and they must provide new documents to permit the company to debit the new bank account within three days.
It is common practice in the franchise industry for royalty fees to be paid monthly, as this provides a steady stream of income for the franchisor and allows franchisees to manage their cash flow more effectively. The use of electronic funds transfer is also a standard practice, as it simplifies the payment process and reduces the risk of late payments. Franchisees should ensure they understand the specific terms and conditions related to royalty fee payments, including the due date, payment method, and any penalties for late payments.