factual

When is the Learningrx royalty fee due?

Learningrx Franchise · 2025 FDD

Answer from 2025 FDD Document

evelopment Territory.

ITEM 6 OTHER FEES

Name of Fee Amount Due Date Remarks
Royalty Fee 8% of Gross Revenues or the Minimum Monthly Royalty (Notes 2, 3, and 4); adjusted to 7.5% for revenues above $500,000/yr and to 7% for revenues above $750,000/yr (within a calendar year) Due on the 10th day of ea

Source: Item 6 — OTHER FEES (FDD pages 13–19)

What This Means (2025 FDD)

According to Learningrx's 2025 Franchise Disclosure Document, the royalty fee is due on the 10th day of each month. This payment covers the previous month's gross revenues. The royalty fee is 8% of gross revenues, but this can be adjusted to 7.5% for revenues above $500,000 per year and to 7% for revenues above $750,000 per year within a calendar year.

Learningrx franchisees should note that there is also a minimum monthly royalty. The minimum monthly royalty is $500 for Micro Franchises and $800 for Standard Franchises. This minimum applies if 8% of gross revenues does not exceed these amounts. This minimum starts after the center has been in operation for six full months.

Franchisees should also be aware of how Learningrx calculates gross revenues. Gross revenues include the total of all receipts from services or products sold, whether in cash, credit, checks, or other forms of exchange. Sales tax receipts paid to the government, promotional coupons where the franchisee realizes no revenue, and free services or products to employees are excluded from gross revenues. Cash income reports from the accounting software, without any deductions for any fees due to collection method, are used to calculate the royalty amounts due each month.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.