When is the Advertising Fee due for a Healthsource Chiropractic franchise?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
harging the Continuing Franchise Fee based on "gross revenues."
- (3) You must pay all amounts due by automatic debit, but we have the right to require you to pay all amounts due us or our affiliates by certified or cashier's check or wire transfer. After you sign the documents we require to debit your business checking account automatically for the amounts due (see Exhibit 5 to Franchise Agreement), we will debit your bank account for the Continuing Franchise Fees, Advertising Fees, and other amounts you owe us. You must make funds available for withdrawal from your account before each due date.
If you do not report your Clinic's gross revenues for any month, then we may debit your account for 120% of the Continuing Franchise Fee and Advertising Fee amounts that we debited during the previous month. If the Continuing Franchise Fee and Advertising Fee amounts we debit are less than the Continuing Franchise Fee and Advertising Fee amounts you actually owe us (once we determine the franchise's actual gross revenues for the month), then we will debit your account for the balance on the day we specify. If the Continuing Franchise Fee and Advertising Fee amounts we debit is greater than the Continuing Franchise Fee and Advertising Fee amount you actually owe us, then we will credit the excess amount, without interest, against the amount we otherwise would debit from your account during the following month.
Source: Item 6 — Other Fees (FDD pages 17–23)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, the Advertising Fee due date is not explicitly listed in the provided excerpts. However, the document does state that Healthsource Chiropractic has the right to automatically debit the franchisee's bank account for Advertising Fees.
The FDD mentions that after signing the required documents for automatic debit, Healthsource Chiropractic will debit the franchisee's bank account for Continuing Franchise Fees, Advertising Fees, and other amounts owed. The franchisee is responsible for ensuring funds are available for withdrawal before each due date. If a franchisee fails to report their clinic's gross revenues for any month, Healthsource Chiropractic may debit the account for 120% of the Continuing Franchise Fee and Advertising Fee amounts debited during the previous month.
While the exact due date for the Advertising Fee is not specified, the FDD indicates that Healthsource Chiropractic will debit the franchisee's account for the fees. It also outlines procedures for adjustments if the debited amounts do not align with the actual gross revenues. A prospective franchisee should clarify the specific due date and debit schedule for the Advertising Fee with Healthsource Chiropractic to ensure timely payments and avoid any discrepancies.