What is the last day of the month shown in The Standardx's calendar?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
"Year" means the calendar twelve (12) month period beginning on the first (1st) day of the calendar month during which the Opening Date occurs, and ending on the day immediately preceding the first (1st) anniversary of such date, and each subsequent one (1) year period.
Source: Item 18 — OTHER INCOME (LOSS), NET (FDD pages 187–399)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, the "Year" is defined as a twelve-month period that begins on the first day of a calendar month, specifically the month in which the Opening Date occurs. The year then concludes on the day immediately before the anniversary of that opening date. This definition is relevant for calculating certain fees and obligations within the franchise agreement.
This definition is important for franchisees because it establishes the timeframe for calculating various financial obligations, such as the CapEx Account contributions. The CapEx account requires contributions based on a percentage of the Hotel's total operating revenue, calculated over these defined twelve-month periods. Understanding this calendar definition ensures that franchisees can accurately track and fulfill their financial responsibilities to The Standardx.
While the FDD defines the start and end of the "Year" for financial calculations, it does not explicitly state the last day of any standard calendar month. The document focuses on the anniversary of the opening date rather than standard monthly cycles. Therefore, franchisees should be aware of how "Year" is defined for their specific opening date to manage their financial planning and reporting accurately.