Royalty statements your franchisees can verify.
Your team already computes royalties, ad-fund contributions, and true-ups in Excel. Formualizer publishes each franchisee a permissioned statement rendered from that same model — every figure traces to the gross-sales cells that produced it.
Franchisor finance teams (10–100+ units) computing royalties and ad-fund contributions in Excel.
Book a working session"Gross sales" means different things until it's traced
Delivery-platform commissions, tips, returns — the definition disputes are real, and they surface as an 18-month back-royalty bill with interest. A statement where the royalty line traces to the exact gross-sales figures and rate tiers ends the argument before it starts.
The ad fund is a trust problem
Franchisees tell regulators they're never shown how marketing-fund money is calculated or spent. An ad-fund line that opens into the calculation — contribution rate, sales base, period — replaces "trust us" with "see for yourself."
The spreadsheet breaks down as the system grows
Past a few dozen units, finance reconstructs disputed calculations by digging through workbook versions. Formualizer keeps the model as the system of record and makes every published statement its live, versioned output — republish after a correction and franchisees see exactly what changed.
How the counterparty experience works
Keep your royalty model
Tiered rates, minimums, ad-fund percentages, per-agreement carve-outs — your workbook runs unchanged on our engine. No migration to a royalty platform, no re-encoding your FDD terms in someone else's configuration.
Publish permissioned statements
Each franchisee sees only their own statement — royalty, ad-fund contribution, true-up — rendered live from the formula graph.
Every figure defends itself
A franchisee clicks the royalty line and walks it through the rate tier to the reported sales figures — with a plain-English explanation grounded in the formula trace.
Republish with a visible diff
Correct a sales figure or a rate, republish, and the statement shows what changed and why — versioned, so a true-up is a transparent event instead of a dispute.
Questions
How is this different from a royalty management platform?
Platforms like the franchise-suite incumbents replace your workflow — POS integration, their calculation engine, their reports. Formualizer runs the Excel model you already have and makes its output verifiable. Nothing to migrate, nothing to re-implement.
Can franchisees see how their ad-fund contribution was calculated?
Yes — the ad-fund line traces to the contribution rate and the sales base it was applied to, for the period in question. That's the whole point: the number explains itself instead of arriving as a deduction on an invoice.
Do we have to change our royalty formulas or reporting cadence?
No. Weekly or monthly, flat or tiered or greater-of-minimum — the model is yours. Formualizer executes it as-is and publishes on your schedule.
What happens when a franchisee disputes a gross-sales figure?
The dispute gets small. Both sides look at the same trace: which reported figures fed the calculation, which rate tier applied, what the true-up logic did. If a source figure is wrong, you correct it and republish — the diff is visible to the franchisee.
Does this replace audits or royalty-assurance reviews?
No — it makes them cheaper. Audit rights and assurance programs verify reported sales; Formualizer guarantees the calculation layer above them is transparent and consistent, so audits focus on inputs instead of reconstructing math.
How does it handle tiered or sliding-scale royalty rates?
However your workbook does. If your model implements volume tiers, minimums, or blended structures, the statement traces through that exact logic — including which tier a period landed in and why.
Related
- Earnouts & JV True-Ups — recurring counterparty-statement sibling
- PE & VC Funds — recurring counterparty-statement sibling
- How it works
48 hours from workbook to live statements.
Concierge pilot: send a sanitized workbook, we map it and stand up your counterparty portal in 48 hours. Pilots are paid — $2–3k setup, then a monthly fee per recipient. If the pilot doesn't earn the subscription, walk away.