What day of the week are royalty payments due for a Closet Storage Concepts franchise?
Closet_Storage_Concepts Franchise · 2025 FDDAnswer from 2025 FDD Document
All weekly payments required under this section shall be due and deducted from Franchisee's bank account on Monday of each week on the receipts for the preceding week or such other day as Franchisor mandates.
The royalty calculations shall be based on the weekly reports and/or statements signed by Franchisee in the form specified by Franchisor indicating all Gross Revenue (as defined in Section 3.3.2) of Franchisee during the applicable week, which must be submitted to Franchisor on or before the close of business on Monday of each week.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2025 FDD)
According to the 2025 Closet Storage Concepts FDD, royalty payments are due and deducted from the franchisee's bank account on Mondays for the preceding week's receipts. However, Closet Storage Concepts retains the right to mandate a different day for these payments.
Closet Storage Concepts requires franchisees to participate in an electronic funds transfer program for royalty payments. Franchisees must provide the necessary banking documents before opening their business. They are also obligated to inform Closet Storage Concepts of any changes to their banking information.
In addition to the weekly royalty payments, franchisees must submit weekly reports and/or statements, signed and in a format specified by Closet Storage Concepts, indicating all gross revenue from the previous week. These reports are due on or before the close of business on Mondays. If a franchisee fails to submit these reports on time, Closet Storage Concepts may estimate the gross revenues and withdraw the estimated amount due from the franchisee's account, which will be reconciled upon receipt of the required reports.