How often is the Continuing Franchise Fee payable for a Degree Wellness franchise?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
These contributions will be payable weekly with and at the same time as your Continuing Franchise Fees payable under Paragraph 6.2 above.
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the Continuing Franchise Fees are payable weekly. The Brand Fund contribution, which is one percent of the franchise's gross revenues, is also payable weekly, at the same time as the Continuing Franchise Fees.
This weekly payment schedule means that Degree Wellness franchisees need to maintain a close watch on their revenue and cash flow to ensure they can meet this ongoing obligation. It is more frequent than the typical monthly payment schedule seen in many franchise systems.
Furthermore, Degree Wellness uses electronic funds transfers to collect both the Continuing Franchise Fees and the Brand Fund contributions. If a franchisee fails to report gross revenues for any reporting period, Degree Wellness is authorized to debit the franchisee's account for an amount equal to 120% of the amounts transferred for the last reporting period for which gross revenues were reported. This highlights the importance of accurate and timely reporting of gross revenues to avoid overpayment or discrepancies.