What is the Royalty Fee for a Deer Solution franchise?

According to Deer Solution's 2025 Franchise Disclosure Document, franchisees must pay a continuing royalty fee, referred to as the "Royalty Fee." This fee is calculated weekly and is equivalent to 8% of the franchisee's weekly Gross Sales, which Deer Solution terms the "Royalty Rate."

The Royalty Fee is a standard component of most franchise agreements, compensating the franchisor for the use of their brand, systems, and ongoing support. The 8% royalty rate charged by Deer Solution is fairly typical within the service industry franchise sector. Gross Sales for Deer Solution include the total dollar sales from all business and customers, encompassing revenues from any source, whether in cash, credit, or other forms of consideration. Gross Sales do not include sales taxes that you collect and remit to the proper taxing authority and authorized promotional discounts that you provide to customers.

Deer Solution may directly collect the Gross Sales from the customer and deduct the Royalty Fee instantly. If any federal, state, or local tax other than an income tax is imposed on the Royalty Fee which Deer Solution cannot directly offset against taxes required to be paid under any applicable federal or state laws, the franchisee must compensate Deer Solution so that the net effective Royalty Fees received is not less than 8% of Gross Sales. This ensures that Deer Solution receives its full royalty amount regardless of any taxes imposed on the fee itself.