How often must Learningrx franchisees pay royalties?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
ing Campaign for 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 Attachment I upon the signing of this Agreement.
- 5.4 Royalties. Franchisee must pay to Franchisor a monthly royalty in the amount of the greater of either (i) eight percent (8%) of Gross Revenues for the preceding calendar month, or (ii) the "Minimum Monthly Royalty" of Five hundred and 00/100 Dollars ($500.00) for Micro Franchises and Eight hundred and 00/100 Dollars ($800.00) for Standard Franchises. The royalty payment is due to Franchisor, without notice from Franchisor, on the tenth (10th
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, franchisees are required to pay royalties on a monthly basis. The royalty payment is due to Learningrx on the 10th day of each month, without any prior notice from Learningrx. The royalty amount is calculated based on the greater of either 8% of the Gross Revenues for the preceding calendar month, or a fixed Minimum Monthly Royalty. The Minimum Monthly Royalty is $500.00 for Micro Franchises and $800.00 for Standard Franchises. Franchisees must report their royalties in a format specified by Learningrx.
For franchisees who also operate a Satellite Location, the Gross Revenues from the Satellite Location are added to the Gross Revenues of the main Learningrx Center to determine the total royalties owed. This combined revenue is then used to calculate the monthly royalty payment. This means that a franchisee with both a Center and a Satellite Location will make a single monthly royalty payment covering both operations.
Late payments are subject to interest charges. Learningrx specifies that franchisees must pay interest at a rate of 1% per month, or the maximum interest rate allowed by applicable law, whichever is less, for any late payments or payments returned due to insufficient funds. This late fee applies to any payments due under the Franchise Agreement.