What is the monthly Technology Fee that a Hyper Kidz franchisee must pay?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
on the records of the point of sale system and any cash shortage will not be considered in the determination. Gross Sales expressly excludes taxes collected from your customers and paid to the appropriate taxing authority and customer refunds or adjustments. We may authorize certain other items to be excluded from Gross Sales. Any exclusion may be revoked or withdrawn at any time by us.
10.4 Technology Fee
In addition to the other continuing fees payable herein, you agree to pay to us a technology fee ("Technology Fee") in the amount of Two Hundred Ninety Dollars ($290) per month. The Technology Fee is payable on the first Tuesday of each month together with the Royalty Fee.
We reserve the right to increase the Technology Fee, which will not be increased more frequently than annually. We will provide you with sixty (60) days' prior written notice of any changes to the Technology Fee.
In addition to the requirements of Section 10.4, Franchisee shall pay al
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Hyper Kidz's 2024 Franchise Disclosure Document, franchisees must pay a Technology Fee of $290 per month. This fee is in addition to other continuing fees and is due on the first Tuesday of each month, coinciding with the Royalty Fee payment.
Hyper Kidz retains the right to increase the Technology Fee, but not more than once per year. The franchisee will receive a 60-day written notice before any changes to the Technology Fee take effect. This advance notice allows franchisees time to adjust their financial planning accordingly.
In addition to the Technology Fee, franchisees are responsible for all fees and expenses related to required technology for operating the Hyper Kidz franchise. These costs encompass computer hardware and software, installation, recurring software and digital menu display fees, internet access, license fees, help desk fees, and any user-based licensing fees. This means the total monthly technology expenses could exceed the stated Technology Fee depending on the specific technology solutions implemented.