What is the minimum monthly royalty fee for a Learningrx Standard Franchise?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
an opening marketing opening campaign for media, print, public relations, marketing materials and products, and digital marketing services ("Initial Marketing") of between Fifteen thousand and 00/100 Dollars ($15,000.00) and Thirty thousand and 00/100 Dollars ($30,000.00) (depending on the size of the Territory) and as set forth in **Att
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, a franchisee must pay a monthly royalty fee. For a Standard Franchise, the minimum monthly royalty is $800.00. However, the franchisee will pay whichever is greater: 8% of gross revenues for the preceding calendar month, or the minimum monthly royalty.
This means that even if a Learningrx Standard Franchise location has low revenue in a given month, the franchisee is still obligated to pay at least $800.00 in royalties to Learningrx. This minimum royalty payment ensures that Learningrx receives a consistent income stream from each franchise unit, regardless of the unit's performance.
For a prospective franchisee, this represents a fixed monthly cost that must be factored into their financial projections. It's crucial to estimate potential gross revenues accurately to understand whether the 8% royalty or the $800.00 minimum will apply in most months. Failing to meet revenue projections could mean paying the minimum royalty even when cash flow is tight, impacting profitability.