What is the current technology fee for an Engineering For Kids franchise?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee (note 1) | Amount | Due Date | Remarks |
|---|---|---|---|
| • Local advertising: the greater of: 2% of the Gross Sales (the "Local Ad Percentage Spend") or $100 per month (the "Minimum Local Ad Spend"). | |||
| Additional Training or Assistance (note 4) | Our then-current standard training fee for initial training (currently $300 per person, subject to change) | At the time of the additional training | Training/assistance fee subject to change. You are responsible for all your costs including transportation, lodging, meals, and personal expenses. |
| Transfer Fee | $5,000 | At the time of transfer | If you want to transfer your Franchise Agreement or ownership, you must pay us this transfer fee. Paying this fee relieves the transferee from its obligation to pay a new initial franchise fee under the Franchise Agreement it must enter (for remainder of the term that applied under your franchise agreement). Transfers include, among other things, the sale of your franchise or an interest in your company. We will reduce the transfer fee to $1,400 in some circumstances where the transfer is of partial and non-controlling interests in your franchisee entity. |
| Renewal Fee | $3,500 | At the time of renewal | Renewal is subject to conditions and restrictions. |
| Technology Fee | Currently $200 per month | At same time as Royalty | We charge this fee for certain technology that we provide and/or may develop. We may increase this fee periodically, but any increases will not exceed $25 per month during any 12 month period. |
| Computer Systems, Maintenance and support | Currently $0 payable to us. May vary with cost of future service | As incurred | We or a required third party may charge you a fee for any proprietary software or technology (not otherwise covered by the Technology Fee) that we, our affiliates or a third party license |
Source: Item 6 — OTHER FEES (FDD pages 10–15)
What This Means (2025 FDD)
According to Engineering For Kids's 2025 Franchise Disclosure Document, franchisees must pay a technology fee. The current technology fee is $200 per month, due at the same time as the royalty payments. This fee covers certain technology that Engineering For Kids provides and/or may develop.
It's important to note that Engineering For Kids may increase this fee periodically. However, any increases are capped at $25 per month during any 12-month period. This provides some predictability for franchisees in budgeting for this expense.
In addition to the technology fee, Engineering For Kids franchisees may also be charged for computer systems, maintenance, and support. Currently, there is no fee payable to Engineering For Kids for this, but the cost may vary with the cost of future service. This fee would cover any proprietary software or technology (not otherwise covered by the Technology Fee) that Engineering For Kids, its affiliates, or a third party licenses to the franchisee, as well as other maintenance and support services that Engineering For Kids or a third party might provide in the future.