To whom is the Deka Lash Computer & Software Fee paid?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
| Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty (Notes 1 and 2) | 6% of Gross Studio Sales or $600 per month, whichever is greater. After your 1 st year of operations, the minimum Royalty Fee increases to $1,000 per month. | As specified in the operations manual. Currently we collect royalties twice a month on the 5 th day following the end of each semi-monthly period. | |
| Brand | The greater of 3% of Gross Studio Sales or, after the 1 st year of operations, $500 per month. | As specified in the operations manual. Currently we collect royalties twice a month on the 5 th day following the end of each semi-monthly period. | You are required to contribute the specified Brand Development Fee into the Brand Development Fund (the "Brand Fund"). We are not obligated to maintain the Brand Fund in a separate bank account nor use the entirety of amounts collected within the same calendar year. However, we will account for collections and expenditures and track the Brand Fund balance separately. |
| Development | |||
| Fee | |||
| Technology Fee | $199 per month per executed franchise agreement from date of signing franchise agreement through the date of opening of the studio. $399 per month per franchise location thereafter. | 5 th day of the month for the preceding month, or as specified in the operations manual. | If deemed necessary, we can change monthly fee once a calendar year with 30 days' notice. Any increase would be limited to cover costs of additional software made available to franchisees. |
| Computer & Software Fees | Currently $259/month paid to our vendors | Monthly | You must pay the monthly fee for the POS and other software we specify. This fee may vary based upon optional add-on service |
Source: Item 6 — OTHER FEES (FDD pages 15–23)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, the Computer & Software Fees are currently paid to Deka Lash's vendors. This fee is specified at $259 per month.
The Computer & Software Fees cover the costs associated with the POS (Point of Sale) system and other software that Deka Lash requires franchisees to use. The FDD specifies that the fee may fluctuate if the franchisee selects optional add-on services.
As a prospective franchisee, it is important to understand which specific software and systems are covered by this fee and what optional add-ons are available, as well as their associated costs. This will help in budgeting and understanding the technology infrastructure required to operate a Deka Lash franchise.