When are the Contract Staffing Continuing Fees due to Management Recruiters?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of fee | Amount | Date Due | Remarks |
|---|---|---|---|
| Contract Staffing Continuing | The royalty fee is: The sum of 4.5% of Contract Staffing Payroll plus 18% of the Gross Margin for temporary and contract employee staffing. See Note 1. | Weekly on Wednesday. | Contract Staffing Continuing Fees are deducted from your Gross Margin as part of the weekly calculation of Franchisee's Share. See Note 3. |
Source: Item 6 — OTHER FEES (FDD pages 16–23)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the Contract Staffing Continuing Fees are due weekly. Specifically, these fees are deducted from your Gross Margin account as part of the weekly calculation of the Franchisee's Contract Staffing Share.
The Franchisee's Contract Staffing Share will be paid to you on the Wednesday following the twenty-ninth (29th) day after the end of each weekly Accounting Period, which concludes on a Sunday. If that Wednesday falls on a banking holiday, the payment will be made on the next business banking day.
It's important for prospective franchisees to understand that the Contract Staffing Continuing Fee is the sum of 4.5% of Contract Staffing Payroll plus 18% of the Gross Margin for temporary and contract employee staffing of the Franchise Business. Contract Staffing Payroll is defined as any gross wages funded by Hire Quest, L.L.C. or its affiliates on your behalf with respect to the temporary and contract employees. Therefore, franchisees should carefully track their payroll and gross margin to ensure accurate fee calculation and timely payment.