What is the 'Recommended Fee' in the context of Ledgers' Central Processing Services?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
See Schedule 2 to the Franchise Agreement.
Note 3: Ledgers' Central Processing Services is a centralized support system offered by us to enhance efficiency and service quality across the franchise network. Through this program, we offer to provide certain personal and business tax preparation, bookkeeping, and business planning services directly to clients on your behalf utilizing a joint engagement form. We publish an annual price list for the then-current services offered by us, which may vary from time to time. Each service offered by us includes a recommended fee for you to charge your clients (the "Recommended Fee") and includes the fee we charge for the services (the "Central Processing Services Fee"). We do not currently require you to utilize our Central Processing Services, but we reserve the right to do so.
Source: Item 6 — OTHER FEES (FDD pages 17–20)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, the 'Recommended Fee' is the fee that Ledgers suggests a franchisee charge their clients for services offered through Ledgers' Central Processing Services. Ledgers offers a centralized support system to enhance efficiency and service quality across its franchise network. Through this system, Ledgers provides personal and business tax preparation, bookkeeping, and business planning services directly to clients on behalf of the franchisee, utilizing a joint engagement form.
Ledgers publishes an annual price list for the services offered, which may vary. Each service includes both the 'Recommended Fee' for the franchisee to charge clients and the 'Central Processing Services Fee,' which is what Ledgers charges the franchisee for providing the service. The Central Processing Services Fee can be up to 40% of the Recommended Fee.
While franchisees are not currently required to use Ledgers' Central Processing Services, Ledgers retains the right to mandate its use in the future. This means that a franchisee's revenue and expenses could be directly impacted by the pricing structure and service fees associated with this program should it become mandatory. Therefore, it is important for prospective franchisees to understand the details of these services, including the annual price list and the potential impact on their profitability.