When is the Royalty Fee due for a Monicals Pizza franchise?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee | 4% of gross sales | 10th day of each month | You must pay your royalty fee directly to us. See definition of gross sales.1 |
Source: Item 6 — OTHER FEES (FDD pages 10–12)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, the Royalty Fee is due on the 10th day of each month. The royalty is calculated as 4% of gross sales. Monicals Pizza specifies that franchisees must pay this fee directly to them. Gross sales are defined as all revenue from the franchised restaurant, excluding sales tax or use tax.
Timely payment of the royalty fee is crucial for Monicals Pizza franchisees. Failure to pay on time can result in late fees, as detailed elsewhere in the FDD. Franchisees should ensure they have systems in place to accurately track gross sales and remit the royalty fee by the due date each month.
Franchise agreements commonly include royalty fees as a primary source of income for the franchisor. The structure of Monicals Pizza's royalty fee (percentage of gross sales, due monthly) is a standard arrangement in the franchise industry. Prospective franchisees should carefully review the definition of gross sales to understand exactly what revenue is subject to the royalty fee.