How does the Gokhale Method franchise determine the Billing Fee for GMI-Pay Students?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
- 5.5. Billing Fees. For GMI-Pay Students you will pay us a Billing Fee in accordance with our Billing Fee Schedule in effect as of the time of payment.
The Billing Fee Schedule in effect as of the signing of this Agreement is included in the annexed Exhibit A and is subject to change from time to time in our reasonable discretion upon thirty (30) days' notice.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, franchisees are required to pay a Billing Fee for students who pay Gokhale Method Institute, Inc. (GMI) directly through their payment system, referred to as "GMI-Pay Students." The specific amount or schedule for these Billing Fees is detailed in the Billing Fee Schedule, which is included as Exhibit A to the Franchise Agreement.
The Billing Fee Schedule that is in effect at the time of signing the Franchise Agreement is the one that applies. However, Gokhale Method retains the right to modify this schedule at their discretion. They are required to provide franchisees with a 30-day advance notice before implementing any changes to the Billing Fee Schedule.
Prospective franchisees should carefully review Exhibit A of the Franchise Agreement to understand the current Billing Fee Schedule. They should also inquire about how frequently these fees have been changed in the past and what factors might influence future changes. Understanding these fees is crucial for accurately projecting operating costs and potential profitability as a Gokhale Method franchisee.