How will the Fly To Fit marketing fund contribution amounts be withdrawn?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty | 6% of your gross sales | Monthly, by the 1st Tuesday of the following month | See Note 1 and Note 2. |
| 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 Amounts due will be withdrawn by electronic wire transfer from your designated bank account.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Fly To Fit's 2024 Franchise Disclosure Document, the marketing fund contribution, which is 1% of gross sales, will be withdrawn via electronic wire transfer from the franchisee's designated bank account. This contribution is due monthly, specifically by the 1st Tuesday of the following month. Item 11 of the FDD provides a more detailed discussion about the marketing funds.
This means that Fly To Fit franchisees must ensure they have sufficient funds in their designated bank account to cover the 1% marketing fund contribution each month. The electronic wire transfer provides a convenient method for Fly To Fit to collect these funds, but franchisees need to be diligent in managing their cash flow to avoid any potential issues with the withdrawal.
Franchisees should carefully review Item 11 of the FDD to fully understand how the marketing fund is managed, what it covers, and how it benefits their Fly To Fit franchise. Understanding the specifics of the marketing fund can help franchisees appreciate the value of this contribution and plan accordingly for their monthly payments.