What is the minimum weekly royalty payment for a Pearce Bespoke franchise in Year 3?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| Period Following Original | Minimum Royalty Payment |
|---|---|
| Opening Date | |
| Year 1 | $100 per week |
| Year 2 | $150 per week |
| Year 3 | $200 per week |
| Year 4+ | 10% increase over previous year minimum |
Source: Item 12 — TERRITORY (FDD pages 27–29)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, franchisees are required to make minimum weekly royalty payments to maintain their franchised territory. The minimum weekly royalty payment for a Pearce Bespoke franchise in Year 3 is $200.
This minimum royalty payment increases over time. In Year 1, the minimum weekly royalty payment is $100, and in Year 2, it increases to $150 per week. After Year 3, the minimum royalty payment increases by 10% over the previous year's minimum.
It is important to note that these are minimum payments. Franchisees are obligated to pay the greater of the minimum royalty or the standard royalty percentage as outlined in the FDD. Prospective franchisees should carefully consider these escalating minimum payments and ensure their business plan accounts for these increasing costs.