What is the discounted monthly Technology Fee for each additional Extreme Art Studio Business?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
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| Type of Fee(1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Technology Fee | Then-current fee (currently $400 per month) for the first Extreme Art Studio Business and the discounted rate for each additional Extreme Art Studio Business (currently $300 per month per additional Extreme Art Studio Business) | The first payment is due on the 1st day of the second month after signing the Franchise Agreement. Thereafter, monthly within five days of the end of the calendar month | For use of our online systems, website, applications, email, data sharing, integration and maintenance of DB Software, learning management software, search engine optimization for lead generation, and other Internet-related functions. We reserve the right to increase or decrease this fee, upon 30 days' written notice, in the event we offer updated or additional software or technology for use in the Extreme Art Studio Business or in the event of increases from third party suppliers. |
Source: Item 6 — OTHER FEES (FDD pages 13–18)
What This Means (2024 FDD)
According to Extreme Art Studio's 2024 Franchise Disclosure Document, franchisees must pay a Technology Fee. The then-current fee is $400 per month for the first Extreme Art Studio Business. However, Extreme Art Studio offers a discounted rate for each additional Extreme Art Studio Business, which is currently $300 per month per additional studio.
This Technology Fee covers the use of Extreme Art Studio's online systems, website, applications, email, data sharing, integration and maintenance of DB Software, learning management software, search engine optimization for lead generation, and other Internet-related functions. The fee is due on the 1st day of the second month after signing the Franchise Agreement, and then monthly within five days of the end of the calendar month.
Extreme Art Studio retains the right to adjust the Technology Fee with 30 days' written notice. This adjustment may occur if Extreme Art Studio offers updated or additional software or technology for use in the Extreme Art Studio Business, or if there are increases from third-party suppliers. This means that while the discounted rate is currently $300, it could change over the term of the Franchise Agreement.