How the Money Flows

How the Money Flows!

Now we are at the part that everyone has probably been waiting for. When and how do you get paid!?

Per the AR Franchise Agreement we have until the 20th of the following month to pay you the commission that we have collected from your franchisees. This is paid via ACH to the account that you have provided us.

For example if someone buys a franchise on May 5th and puts $5K down, we have until June 20th to pay your portion of $2,500 out to you. However, our accounting team tries very hard to get you the money as quickly as possible, so their rule is usually anything that comes in on or before the 15th of the month gets paid out on the 20th that same month. Anything that comes after the 15th would be paid the following month.

For the monthly ongoing fees, such as promissory note, tech fee, and transaction fee, the money is due from the franchisee on the 10th and if collected on the 10th then it is paid out on the 20th the same month to you. (Isn’t our Accounting Team AMAZING!)

Of course if you have anything past due to us then the money would first go towards that and then the remaining balance paid out to you.

You can find the information on what you get paid on in the AR agreement under section 5 – Commission to Area Representative.