Common use of Formula Price Clause in Contracts

Formula Price. The purchase price for these assets and the covenants shall be equal to twenty-five percent (25%) of the first Three Hundred Thousand Dollars ($300,000.00) of royalty sales ("Base Amount") of the Store during the fifty two (52) full weeks immediately preceding the date of termination or expiration plus thirty-five (35%) of royalty sales in excess of the Base Amount during this period. The purchase price shall be allocated among the assets and covenants in the manner prescribed by us. If the Store has been in operation less than fifty two (52) full weeks, the option price shall be the cost of the Store plus ten percent (10%). The term "cost" shall be defined as your documented expenditures for the equipment, inventory and leasehold improvements of the Store, but shall not include any charges for labor performed by you or your family members in connection with the development of the Store.

Formula Price. The purchase price for these assets and the covenants shall be equal to twenty-five percent (25%) of the first Three Hundred Thousand Dollars ($300,000.00) of royalty sales ("Base Amount") of the Store during the fifty two (52) full weeks immediately preceding the date of termination or expiration plus thirty-five percent (35%) of royalty sales in excess of the Base Amount during this period. The purchase price shall be allocated among the assets and covenants in the manner prescribed by us. If the Store has been in operation less than fifty two (52) full weeks, the option price shall be the cost of the Store plus ten percent (10%). The term "cost" shall be defined as your documented expenditures for the equipment, inventory and leasehold improvements of the Store, but shall not include any charges for labor performed by you or your family members in connection with the development of the Store.