When is the Advertising Fee due for a Ledgers franchise?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee (Notes 1 and 2) | The Royalty Fee is 10% of Gross Revenues | See Note 1 for a definition of Gross Revenues. | |
| Advertising Fee | 3% of the previous month’s Gross Revenues | Monthly | You agree to pay this fee to us to support our advertising program. |
| Credit Card Processing Fee | The actual amount charged by third party credit card processor The actual amount charged by third party credit card processor | As incurred |
Source: Item 6 — OTHER FEES (FDD pages 17–20)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, the advertising fee is due monthly. The advertising fee is 3% of the previous month’s gross revenues. This fee is paid to Ledgers to support their advertising program.
As a Ledgers franchisee, you will need to calculate 3% of your gross revenues from the previous month and remit this amount to Ledgers on a monthly basis. This is a standard practice in franchising, where advertising fees are commonly collected to fund marketing efforts that benefit the entire franchise system. Gross revenues are defined as all revenues that you derive or receive, directly or indirectly, from the operation of the Franchised Business, excluding only sales and use taxes.
Prospective franchisees should budget for this monthly advertising expense and ensure they understand how gross revenues are calculated to avoid any discrepancies. It is also important to note that Ledgers requires franchisees to sign and deliver bank documents to permit them to debit your bank account via ACH Electronic Transfer for all fees and payments due to them.