When will 1 800 Packouts require or accept payment of any initial franchise fees in Washington?

According to the 2025 1 800 Packouts Franchise Disclosure Document, the franchisor will not require or accept payment of any initial franchise fees from franchisees in Washington until certain conditions are met. Specifically, 1 800 Packouts will wait until the franchisee has (a) received all initial training that they are entitled to under the franchise agreement or offering circular, and (b) is open for business. This policy is in place of an impound of franchise fees, as stated in the FDD.

This means that a prospective 1 800 Packouts franchisee in Washington will not have to pay the initial franchise fee until after they have completed their initial training and have opened their business. This arrangement potentially reduces the initial financial burden on the franchisee and aligns the payment of fees with the commencement of business operations. It also provides some assurance that the franchisee will receive the promised training and be ready to operate before paying the initial fee.

This type of arrangement is not universally standard in franchising. Some franchisors require the initial franchise fee to be paid upon signing the franchise agreement, regardless of when training occurs or when the business opens. The Washington-specific policy for 1 800 Packouts offers a degree of financial protection to franchisees in that state, ensuring they are prepared to start their business before the initial fee is collected. Franchisees should still carefully review the franchise agreement and offering circular to understand all obligations and expectations.