What is the initial term length of the All Team agreement?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
one-half percent (1-1/2%) per month or the maximum legal rate in the jurisdiction where the Agency is located. User acknowledges that this paragraph does not constitute ATFC's agreement to accept payments after same are due or a commitment by ATFC to extend credit to, or otherwise finance User's operation of the Agency. Further, User acknowledges that User's failure to pay all amounts when due constitutes grounds for termination of this Agreement.
III. Term. This Agreement shall commence upon execution of this Agreement and shall continue for a term of three (3) years, unless terminated sooner in accordance with the terms of this Agreement, and shall automatically be renewed for successive one (1) year periods the
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the initial term of the Funding Agreement is three years. After the initial term, the agreement automatically renews for successive one-year periods.
However, All Team can prevent this renewal by providing the franchisee with written notice of termination. This notice must be given at least 60 days, but no more than 120 days, before the end of the current term.
It's also important to note that All Team has the right to terminate the Funding Agreement immediately if the Franchise Agreement or the Funding Agreement itself expires or is terminated. Additionally, All Team reserves the right to increase any and all fees under the agreement for any renewal period, which could impact the franchisee's financial planning.