How are Royalty fees paid to Floyds 99?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty1 | 6% of Gross Sales | Payable on the day of the week we periodically designate, based on prior week's Gross Sales | Gross Sales include all revenue from the Barbershop, including sales made away from the Barbershop premises. Gross Sales do not include sales taxes and discounts that have been approved by us in advance. Royalties are paid by electronic transfer of funds. |
Source: Item 6 — OTHER FEES (FDD pages 14–20)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, the royalty fee is 6% of gross sales. Gross sales include all revenue from the barbershop, including sales made away from the barbershop premises, but do not include sales taxes and discounts that have been approved by Floyds 99 in advance.
The royalty fees are payable on the day of the week that Floyds 99 periodically designates. The payment is based on the prior week's gross sales. This means franchisees need to track their sales meticulously and be prepared to remit the royalty payment weekly.
Floyds 99 requires that royalty payments are made via electronic transfer of funds. This ensures a secure and efficient method of payment, which is a common practice in franchising to streamline financial transactions.