factual

When are initial, ADA, master, and renewal franchise fees payable to Basecamp Fitness?

Basecamp_Fitness Franchise · 2025 FDD

Answer from 2025 FDD Document

Initial, ADA, master, and renewal franchise fees are payable by the franchisee upon signing a new franchise agreement, and transfer fees are paid to the Company when one franchisee transfers a franchise agreement to a different franchisee.

Source: Item 23 — RECEIPTS (FDD pages 62–248)

What This Means (2025 FDD)

According to Basecamp Fitness's 2025 Franchise Disclosure Document, initial franchise fees, Area Development Agreement (ADA) fees, master franchise fees, and renewal franchise fees are all payable by the franchisee upon signing a new franchise agreement. This means that a prospective Basecamp Fitness franchisee must be prepared to pay these fees at the time of signing the agreement to formalize the franchise arrangement.

This upfront payment requirement is a common practice in the franchise industry, as it provides the franchisor with initial capital to support the setup and training of the new franchisee. It also signifies the franchisee's commitment to the business. Transfer fees, however, are handled differently; they are paid to Basecamp Fitness when an existing franchisee transfers their franchise agreement to a new owner.

Understanding the timing of these payments is crucial for financial planning. A potential Basecamp Fitness franchisee should ensure they have the necessary funds available when they sign the franchise agreement. This up-front payment contrasts with ongoing fees like royalties and advertising contributions, which are collected according to the specific terms outlined in the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.