What is the electronic wire transfer used for regarding fees for a Fly To Fit franchise?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Marketing Fund Contribution | 1% of your gross sales | Monthly, by the 1st Tuesday of the following month | See Item 11 for a detailed discussion about these funds. Amounts due will be withdrawn by electronic wire transfer from your designated bank account. |
Source: Item 6 — OTHER FEES (FDD pages 12–16)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, the electronic wire transfer is used to withdraw the Marketing Fund Contribution from a franchisee's designated bank account. This contribution is 1% of the franchisee's gross sales.
The Marketing Fund Contribution is due monthly, specifically by the first Tuesday of the following month. This means that if a Fly To Fit franchisee has $50,000 in gross sales for January, $500 (1% of $50,000) will be withdrawn from their bank account on the first Tuesday of February.
It is important for prospective Fly To Fit franchisees to understand that the franchisor has the right to withdraw this fee directly from their bank account. Franchisees should ensure they have sufficient funds available to avoid any potential insufficient funds fees or other penalties. Further details regarding the use of these marketing funds can be found in Item 11 of the Fly To Fit Franchise Disclosure Document.