Does Expense Reduction Analysts charge a fee for centralized billing services?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
All amounts or fees due as the result of this Agreement shall be considered net of taxes, fees or contributions, and any such taxes, fees or contributions must be included where applicable and paid additionally in conformity to the legislation applied as of the tax collectability date.
6. CENTRALIZED BILLING SERVICE
6.1 Application of this Part
- (1) In the event the Franchisor designates an approved Centralized Billing Service, You shall use such Centralized Billing Service, unless otherwise specified in writing by the Franchisor. This service is provided free of charge to You. You would also be required to follow the policies and guidelines for using the Centralized Billing Service, which will be set out in the ERA Manuals or otherwise in writing by the Franchisor.
- (2) The Franchisor is not obliged to arrange for a Centralized Billing Service but may at its discretion.
- (3) If the Centralized Billing Service is adopted, You accept that all payments made by Your clients in Your favor for the business and services You provide be transferred directly to a bank account associated with the Centralized Billing Service (the "Centralized Billing Account"), pursuant to this Section 6.1 and template Centralized Billing Account administrative forms designated by the Franchisor, the ERA Manuals, or as the Franchisor otherwise specifies in writing.
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to the 2025 Expense Reduction Analysts FDD, if Expense Reduction Analysts designates an approved Centralized Billing Service, franchisees are required to use it, unless otherwise specified in writing by Expense Reduction Analysts. This service is provided free of charge to the franchisee. Franchisees must adhere to the policies and guidelines for using the Centralized Billing Service, as outlined in the ERA Manuals or in writing by Expense Reduction Analysts.
Expense Reduction Analysts is not obligated to arrange for a Centralized Billing Service but may do so at its discretion. If the Centralized Billing Service is implemented, all client payments for the franchisee's services must be transferred directly to a bank account associated with the Centralized Billing Service.
After payments are made into the Centralized Billing Account for the preceding month, the Centralized Billing Service will pay the franchisee on the 10th day of each calendar month (or the next business day) an amount calculated by deducting the Royalty Fee and the Marketing Fund Contribution from the payments received from the franchisee's clients. These deductions also account for any amounts due to Joint Venture partner(s) and entered in the relative project form on the ERA Management Information System. The Royalty Fee will be offset against the franchisee's Minimum Royalty Fee, with the reconciliation period being the Year.
Expense Reduction Analysts may provide Centralized Billing Services in accordance with Section 6, and if provided, this service is free of charge. However, Expense Reduction Analysts reserves the right to charge a fee based on its current standard (hourly) rates for other services provided to the franchisee at the franchisee's request, as part of any curative action to cure a default, and/or if such services are provided within the franchisee's Area.