factual

When is the Royalty Fee due for a Dog Haus Remote Kitchen?

Dog_Haus Franchise · 2025 FDD

Answer from 2025 FDD Document

Name Of Fee Amount Due Date Remarks
Royalty Fee3 (Dog Haus Fast Casual Restaurant and Dog Haus Biergarten Restaurant) 6% of "Gross Sales" Tuesday of each week on the Gross Sales of your Franchised Restaurant during the immediately preceding week. "Gross Sales" includes all revenue from retail and wholesale sales of goods, merchandise, services or products from your operations. Gross Sales do not include bona fide refunds paid to customers, sales or use taxes actually paid to governmental authorities or the retail price of any coupons, gift certificates and vouchers when they are redeemed.
Royalty Fee3 (Dog Haus Remote Kitchen) (Remote Kitchen Addendum) 4% of "Gross Sales" Tuesday of each week on the Gross Sales of your Franchised Restaurant during the immediately preceding week. "Gross Sales" includes all revenue from retail and wholesale sales of goods, merchandise, services or products from your operations. Gross Sales do not include bona fide refunds paid to customers, sales or use taxes actually paid to governmental authorities or the retail price of any coupons, gift certificates and vouchers when they are redeemed.

Source: Item 6 — OTHER FEES 1 (FDD pages 15–22)

What This Means (2025 FDD)

According to Dog Haus's 2025 Franchise Disclosure Document, the Royalty Fee for a Dog Haus Remote Kitchen is due each week. Specifically, it is due on Tuesday of each week based on the Gross Sales of the Franchised Restaurant during the immediately preceding week. The Royalty Fee for a Dog Haus Remote Kitchen is 4% of Gross Sales. Gross Sales includes all revenue from retail and wholesale sales of goods, merchandise, services, or products from your operations, but does not include bona fide refunds paid to customers, sales or use taxes actually paid to governmental authorities, or the retail price of any coupons, gift certificates, and vouchers when they are redeemed.

This weekly payment schedule is fairly typical in the franchise industry, as it allows franchisors to maintain consistent cash flow and promptly address any underpayments. The franchisee must ensure accurate tracking of gross sales on a weekly basis to calculate and remit the royalty fee on time to avoid potential late charges or penalties.

Dog Haus also specifies that unless otherwise noted, all fees are uniformly imposed and payable to them by electronic funds transfer or other automatic payment mechanism they designate and are non-refundable. Interest begins from the date of the underpayment. If state or local law prohibits or restricts the ability to pay and their ability to collect Royalty Fees or other amounts due to them based on revenue derived from the sale of alcoholic beverages at the Franchised Restaurant, they will reset the amount of the Royalty Fees or other sums payable to them and redefine Gross Sales to exclude the payment of Royalty Fees on revenue derived from the sale of alcoholic beverages to an amount that will have the same basic economic result for both the franchisee and Dog Haus.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.