Zenoti Business Payments allows you to collect royalty payments from your franchisees. To collect the payments, you must set up a Royalties account and assign royalty groups to different franchisees under your franchise.

Important: Ensure you enable Financial Lock for your business, as this freezes the Royalty fees amount and the data cannot be changed after a specified number of days.

To set up the royalties account

  1. At the organization level, click the Admin icon. Navigate to Payments > Setup (under Business Payments).
    Note: You will see this option only if you have the Configure Payment Settings and Manage Payment Settings role permissions.

  2. For Royalties, click Start Now.

  3. The Account Setup page appears.

  4. Click Add Bank Account.
    The Bank Account Details section opens.

  5. Enter the following details:

    • Bank account owner name
      Note: Enter the name of the actual bank account owner. Do not enter the name of the center manager or owner. If you are using the same bank account for cross center settlements, ensure you also add the exact name.

    • Account number

    • ABA routing number

    • Bank name

    • Address:

      • Country

      • Address Line 1

      • Address Line 2

      • City

      • Zip code

      • State

  6. Click Continue.
    The Terms and Conditions page is displayed.

  7. Read through the terms and conditions and select the check box I accept the Zenoti Payment rates and agree to the terms and conditions.

  8. Click Accept and Proceed.
    The Royalty Rules Setup page opens.
    After you add the bank account details, Zenoti will debit a random amount ranging between 30.00 cents to $1.00 as a test transaction. This transaction may take 2 days to complete.

  9. Click Preferences.


    The Select Preference for Settlement dialog box opens.

  10. Select any one of the following options:

    • Monthly: Select this option to receive the royalty payments on a monthly-basis.

    • Weekly: Select this option and specify a day of week to receive royalty payments on a weekly-basis.
      Note: If at any time you change the preference from Monthly to Weekly, or vice-versa, you must first ensure all the batches are processed and completed. Otherwise, this may result in processing delays.

  11. Click Proceed.

  12. Click Add New Royalty Group.


    The Add Details section opens.

  13. Enter the following details:

    • Add Group Name: Enter the name of the royalty group.

    • Sales Commission (%): Enter the commission percentage for Service, Product, Membership, Package, Gift Card, Prepaid Card, Class.

    • Marketing Fees (%): Enter the commission percentage for Service, Product, Membership, Package, Gift Card, Prepaid Card, Class.

    • Ad Tech Fund: This fund is dedicated to Ad Tech or Advertising Technology. You can configure how much amount you want to collect from your franchisees for this fund.

  14. Click Next.
    The Link Centers section opens.

  15. Select all the centers which are to be placed in this group.
    Note: There may be centers from which you collect lower royalty fees than others. For such centers you must create a separate royalty group. To create another group, repeat the steps 12, 13, 14, and 15.

  16. Click Save.
    The details are saved and the status of the account is Submitted.
    Zenoti will now debit a random amount ranging between 30.00 cents to $1.00 as a test transaction. This transaction may take 2 days to complete.
    Note: If you make any changes to the royalties % or the fees, those will reflect in the next processing cycle. If you are processing on a weekly basis, your changes will come into effect the subsequent week.
    After the test transaction is initiated, the status of the account will change from Submitted to Verification Pending. You will also see the Verify button on the configuration page.

  17. Click the Verify button and enter the exact amount that is debited from your account. If the amount you enter matches the debit, status of the account will change from Verification Pending to Active.
    You have successfully set up the Royalties account and completed the verification.

Below is a list of all the possible account statuses and their corresponding actions:

Status

Description

Action

Submitted

This status appears after the account details are submitted, but bank account debit is not yet initiated.

No action required.

Verification Pending

This status appears after the bank account debit is initiated.

Click the Verify button and enter the exact amount that is debited from your account.

Active

This status appears after a successful verification of the account.

No action required.

Error

This status appears for scenarios such as duplicate account, routing number mismatches, or incorrect details.

Delete the bank account and add the account again with correct information.

Failed**

This status appears when the bank debit fails.

No action required.

**This status is very rare, and does not appear commonly.

See Also


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