When is the Crave Royalty Fee payable if Wednesday is not a business day?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
| (1) | (2) | (3) | (4) |
|---|---|---|---|
| Fees (1) | Amount | Due Date | Remarks |
| Royalty Fee (2) | Restaurants: 8% of Gross Sales Food Trucks: 8% of Gross Sales Express: 8% of Gross Sales | Payable weekly on Wednesday (unless Wednesday is not a business day, then it is due on the next business day) | Royalty Fees are calculated based on Gross Sales for the previous week ending Sunday. Amounts due will be withdrawn by EFT from your designated bank account. |
| Brand Development (3) Fee | 2% of Gross Sales | Payable together with the Royalty Fee | The Brand Development Fund is described in Item 11. |
Source: Item 6 — OTHER FEES (FDD pages 12–19)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the Royalty Fee is typically due weekly on Wednesday. However, if Wednesday is not a business day, the Royalty Fee is due on the next business day. This applies to all Crave franchise types, including Restaurants, Food Trucks, and Express locations, each of which pays 8% of Gross Sales as a Royalty Fee. The Royalty Fees are calculated based on Gross Sales for the previous week ending Sunday, and the amounts due will be withdrawn by EFT from the franchisee's designated bank account.
This means that if a holiday or other non-business day falls on a Wednesday, Crave franchisees should expect the Royalty Fee to be debited from their account on the following business day. It is important for franchisees to ensure that sufficient funds are available in their account on that day to avoid any issues with the electronic funds transfer.
Crave also collects a Brand Development Fee equal to 2% of Gross Sales, which is payable together with the Royalty Fee. Therefore, if Wednesday is not a business day, the Brand Development Fee will also be due on the next business day. Franchisees must report their Gross Sales to Crave by Tuesday each week for the previous week ending Sunday. If a franchisee fails to report their Gross Sales, Crave may debit their account for 120% of the last Royalty Fee and brand development fee that was debited.