Does the Kidokinetics Technology Fee include access to a workspace on Slack?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
ER FEES
| Type of Fee (1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee | The greater of 8% of Gross Sales (2) or the "Minimum Royalty" (3) | Due on Wednesday of\neach week for percentage-based Royalty; Monthly for the Minimum Royalty | The "Royalty" is based on "Gross Sales" during the previous week. Your Royalty is an ongoing payment that allows you to use the Marks and the intellectual property of the System and pays for our ongoing support and assistance. See Note 3 for a breakout of the Minimum Royalty by timeframe of operation. |
| Brand Development | 2% of Gross Sales | Weekly | You must pay us a brand development fund contribution of 2% of Gross Sales at the same time as the Royalty. We may use the brand development fund for any purpose we determine. |
| Fund Contribution | |||
| Technology Fee | The then-current fee (currently $475 per month with an additional fee of $6 per month if you request additional email addresses) | Monthly | This fee covers certain technologies used in the operation of your Kidokinetics Business and includes up to four e-mail addresses, our KIDOLINK software, access to our Kidokinetics workspace on Slack, and up to two seats on Monday.com, our workflow management and customer relationship management tool. |
Source: Item 6 — OTHER FEES (FDD pages 13–17)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, the Technology Fee does include access to a Kidokinetics workspace on Slack. The Technology Fee is currently $475 per month, with an additional $6 per month if the franchisee requests additional email addresses.
In addition to access to the Kidokinetics workspace on Slack, the Technology Fee also covers certain technologies used in the operation of the Kidokinetics Business, up to four email addresses, KIDOLINK software, and up to two seats on Monday.com, which is Kidokinetics' workflow management and customer relationship management tool.
The FDD states that the Technology Fee may include fees paid to third-party vendors and it may be adjusted to reflect their price increases. The Technology Fee will cover up to four Kidokinetics Businesses as long as they are operated by the same legal entity and have adjacent territories. The franchisee will also be responsible for any increase in fees that result from any upgrades, modifications or additional services or software.