When is the Aplus Franchise Fee due?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
Upon execution of this Agreement, Franchisee shall pay a fee ("Franchise Fee") to Franchisor in the amount stated on Summary Page. The Franchise Fee shall be deemed fully earned upon execution of this Agreement and is non-refundable, unless otherwise described herein.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, the Franchise Fee is due upon the execution of the Franchise Agreement. The document states that the Franchise Fee amount is listed on the Summary Page and is considered fully earned once the agreement is executed.
This means that a prospective Aplus franchisee must pay the full Franchise Fee at the time they sign the franchise agreement. This fee compensates Aplus for granting the franchise and for the initial services and support provided to help the franchisee establish their business.
It is important to note that the Franchise Fee is generally non-refundable, as stated in the FDD, unless otherwise described in the agreement. This is a standard practice in franchising, as the fee covers Aplus's initial costs and efforts in setting up the franchise. Therefore, a potential franchisee should carefully consider all aspects of the franchise opportunity before signing the agreement and paying the Franchise Fee.