How is the Dryject National Marketing Fund fee calculated?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
ppropriate taxing authority.
Note 2. National Marketing Fund. You must contribute to the National Marketing Fund ("Marketing Fund") according to the following schedule: The greater of 2% of the monthly Gross Revenues generated by the Franchise Owner from the Franchised Business or for months 1-3: $0 per month; months 4-12: $100 per month; months 13-24: $200 per month; months 25-36: $300 per month; months 37 and forward: $500 per month. Marketing Fund contributions are payable on or before the 15th day of each month.
Marketing Fund fees will be paid via EFT or credit card as described in Note 1. We will submit charges only for the correct Marketing Fund contributions as noted in your Franchise Agreement.
Note 3. Non-Compliance Fee. If you fail to pay your Royalty Service Fee, National Marketing Fund contribution or any amount owing to us or our affiliates (if applicable), by its due date, then you are subject to a Non-Compliance Fee of $100 per incident plus 1½ % interest per month on the unpaid balance or the maximum interest permitted by law if it is lower (in California the highest interest rate by law is 10% annually).
Note 4. Initial, Additional and Refresher Training, and Assistance. We will provide initial training for the Franchise Owner(s) and, if only one owner, then one additional person at no extra charge. We also permit you to send two additional people to the initial training class on a spaceavailable basis at no additional charge.
Source: Item 6 — OTHER FEES (FDD pages 14–18)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the National Marketing Fund contribution is calculated as the greater of 2% of monthly Gross Revenues or a fixed monthly amount that escalates over the first 37 months of operation. Specifically, for months 1-3, the contribution is $0 per month; for months 4-12, it's $100 per month; for months 13-24, it's $200 per month; for months 25-36, it's $300 per month; and from month 37 onwards, it increases to $500 per month. These contributions are due on or before the 15th day of each month.
In practice, this means that a new Dryject franchisee will initially pay a lower, fixed monthly fee to the National Marketing Fund, allowing them to manage costs during the early stages of their business. As the business grows and generates more revenue, the contribution will shift to 2% of Gross Revenues if that amount exceeds the fixed monthly fee. This structure ensures that the Marketing Fund benefits from the success of the franchisees while providing some financial relief during the initial months of operation.
It's important to note that Dryject requires franchisees to report their monthly Gross Revenues by the 15th of the following month, which is used to calculate the marketing fund contribution. The term "Gross Revenues" includes all receipts from the sale of products or services related to the franchised business, excluding sales taxes or other taxes collected for transmittal to the appropriate taxing authority. Franchisees must also authorize automatic withdrawals for all fees, including the National Marketing Fund contribution, through Electronic Funds Transfer (EFT).