What is the range of the Non-Compliance Customer Reviews fee for a Deck Medic franchise?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
| Customer Service and Refunds (Note 8) | Varies under the circumstances | On demand | Applies if, in our discretion, we elect to resolve a complaint or refund request by a customer. |
| Annual Conference Attendance Fee (Note 9) | Our then current conference fee, not greater than $1,000 | When invoiced | Applies to conference fee for an annual System conference. |
| Additional Employee Initial Training | Our then current training fee, currently $600 per person per day | When invoiced and prior to training | Our initial pre-opening training is provided at no additional cost for you or your Managing Owner and one designated manager at no additional charge. This fee applies to additional individuals that we authorize to attend training. You are responsible for all fees, wages, and expenses associated with attendance. |
| Supplemental Training | Our then current daily rate per trainer, plus expenses we incur. Current rate is $600 per day | On demand | If you request or we require additional training, you must pay our then current trainer fee plus, if applicable, our expenses related to travel and accommodations. |
| Supplier Review | $500 plus actual fees, costs, and expenses | On demand | You must pay us the costs incurred by us to review and evaluate a potential supplier, product, or service that you submit to us for approval, regardless of whether we subsequently approve the product or supplier. |
| Non-Compliance: Customer Reviews (Note 10) | $250 to $750 per month | On demand | If your aggregate customer review ratings fall below 4.5 stars out of 5 or below a 90% approval rating you must pay to us a non-compliance fee of between $250 to $750 per month for each month of non-compliance. |
| Reporting Non-Compliance | $150 per occurrence | 14 days of invoice | Payable for failure to timely submit royalty and other reports required under the Franchise Agreement. |
| Operations Non-Compliance | $450 to $1,000 per occurrence | 14 days of invoice | Payable for failure to comply with operational standards as required under Franchise Agreement, plus inspection and re-inspection costs incurred by us. |
| Payment Non-Compliance | $150 per occurrence | 14 days of invoice | Payable for failure to comply with payment obligations under Franchise Agreement. |
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, franchisees may incur a Non-Compliance Customer Reviews fee ranging from $250 to $750 per month. This fee is contingent upon the franchisee's aggregate customer review ratings falling below 4.5 stars out of 5, or below a 90% approval rating. Deck Medic requires franchisees to subscribe to and participate in designated customer review tracking and reputation management services.
The Non-Compliance Customer Reviews fee is assessed monthly for each month the franchisee's ratings remain below the specified threshold. If a franchisee's customer review scores remain non-compliant for more than three months, Deck Medic has the discretion to increase the monthly fee up to $750. This escalating fee structure incentivizes franchisees to actively manage and improve their customer satisfaction ratings to avoid incurring additional costs.
This fee highlights the importance Deck Medic places on maintaining a positive brand reputation and customer satisfaction. By implementing this non-compliance fee, Deck Medic ensures that franchisees are motivated to provide high-quality service and address customer concerns promptly. Prospective franchisees should consider this potential expense and factor it into their financial projections, while also prioritizing excellent customer service to maintain positive reviews and avoid the fee.