When is the Advertising Fund Contribution due for a Crepe De Licious franchise, and how should it be paid?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
excluded from this calculation) but not including: (a) any sales taxes or other taxes you collect for transmittal to the appropriate taxing authority; or (b) any bona fide refunds you make to customers (collectively, "Gross Revenues"). Gross Revenues are deemed received by you at the time the products or services or products from which they were derived are delivered or rendered, or at the time the relevant sale takes place, whichever occurs first, regardless of whether final payment (e.g., collection on an account receivable) actually has been received by you.
- 8.03 Advertising Fund Contribution. During the term of this Agreement, we require you to pay us a continuing Advertising Fund Contribution equal to three percent (3%) of your Gross Revenues ("Advertising Fund Contribution").
- 8.04 Place and Method of Payment. You will pay us, without billing or demand, all Royalty Fees and Advertising Fund Contributions required by this Agreement are payable by the fifth day of each month. All fees and other payments due to us under this Agreement will be made to us at our headquarters in Ontario, Canada or as we otherwise specify in writing. We have the right to require you to transmit fees and other payments to us by means of electronic fund transfers, sweep accounts, Internet payment methods, or other methods in accordance with procedures that we may establish in the Operations Manual or otherwise specify in writing. If we require special means of payment, you will establish any required accounts and sign all documents reasonably required, and will otherwise cooperate with us, to effectuate these means (See Exhibit G of the Franchise Disclosure Document). If any payment is made to us by credit card for any fee required, we may charge a service charge of up to four percent (4%) of the total charge.
- 8.05 Late Fee and NSF Fee. If we do not timely receive any fee or any other amount due to us under this Agreement on or before the applicable due date, you will pay us a late fee equal to $100, plus the lesser of the daily equivalent of fifteen percent (15%) per year simple interest or the highest amount allowed under law, on any overdue amount for each day any amount is past due, accruing until the past due amount is paid in full. This provisio
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, franchisees must pay an Advertising Fund Contribution, which is 3% of their Gross Revenues. This payment is due by the fifth day of each month. Gross Revenues are considered received when the products or services are delivered or rendered, or when the sale takes place, whichever comes first, regardless of whether final payment has been collected. The Advertising Fund is used for advertising and marketing activities. Crepe De Licious has complete discretion on how the Advertising Fund will be utilized.
The FDD specifies that all Royalty Fees and Advertising Fund Contributions are payable without billing or demand. Payments must be made to Crepe De Licious's headquarters in Ontario, Canada, or as otherwise specified in writing. Crepe De Licious has the right to require electronic fund transfers, sweep accounts, Internet payment methods, or other methods as outlined in the Operations Manual or in writing.
If Crepe De Licious requires special payment methods, franchisees must establish the necessary accounts, sign required documents, and cooperate to implement these methods. If a franchisee makes a payment via credit card, Crepe De Licious may charge a service fee of up to 4% of the total charge. Late payments are subject to a $100 late fee, plus interest calculated as the lesser of 15% per year or the highest amount allowed by law, accruing daily until the amount is paid in full. Additionally, a $100 fee will be charged for any dishonored check or electronic payment.