Is there any compensation to the Gokhale Method franchisee for the Ideas and Concepts disclosed to Gokhale Method?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
12 hereof.
- 5.9. Teacher Referral Fees. Should you refer to us a new teacher for the Gokhale Method, and that teacher is accepted by us as a teacher and becomes qualified by us to teach the System, we will pay you a Teacher Referral Fee in accordance with our Teacher Referral Fee Schedule in effect as of the time of payment. The Teacher Referral Fee Schedule in effect as of the signing of this Agreement is $100 and is subject to change from time to time in our reasonable discretion upon thirty (30) days' notice. Accepting and qualifying such Teacher will be at Franchisor's sole discretion.
- 5.10. Payments. All payments due Franchisee for activities within a calendar month will be made by us within 10 days of the close of such month. We may deduct any charges, fees or other payments you owe us, including those for continuing education or for products or equipment purchased from us, or any other fees or charges, and remit the bal
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, while there isn't explicit compensation for ideas and concepts disclosed by the franchisee, there is a Teacher Referral Fee. Specifically, if a Gokhale Method franchisee refers a new teacher to Gokhale Method, and that teacher is accepted and qualified by Gokhale Method to teach the system, the franchisee will be paid a Teacher Referral Fee.
The Teacher Referral Fee schedule in effect as of the signing of the Franchise Agreement is $100, but this is subject to change at Gokhale Method's discretion with thirty days' notice. The acceptance and qualification of the referred teacher is at Gokhale Method's sole discretion.
All payments due to the franchisee for activities within a calendar month will be made within 10 days of the close of that month. Gokhale Method may deduct any charges, fees, or other payments owed by the franchisee, including those for continuing education or products purchased, before remitting the balance. This referral fee structure is a potential avenue for franchisees to receive compensation for contributing to the growth of the Gokhale Method network, even though it is not directly tied to the disclosure of ideas and concepts.