Does the fee in section (7) apply to all Batteries Plus Bulbs franchisees?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 6: Other Fees]
| Type of Fee | Amount (See Note 1) | Due Date | Remarks |
|---|---|---|---|
| Annual Conference or Regional Meeting Fee | Varies, currently $0 to $1,500 per person per event plus lodging, meals and travel expenses | Registration billed 6 months before convention | May increase up to 10% each calendar year. Applies only if we schedule an annual conference or regional meeting. See Item 11 |
| Annual Conference or Regional Meeting Non Attendance Fee | Currently $0 to $2,000 per event | When incurred | If you fail to attend an annual convention or regional meeting, you must pay a non attendance fee of $2,000 per active Franchise Agreement with a cap of $10,000 for each franchisee owner group. May increase up to 10% each calendar year. |
| Payments to Ascent | Will vary | When incurred | See Item 8 |
| Relating to Products | |||
| Purchased Through Supply | |||
| Chain Program | |||
| Optional Resale Marketing Assistance Fee | Currently, $1,200 for a Launch Fee and $7,500 for a Resale Marketing Fee | Launch Fee is payable when you engage with the program; Resale Marketing Fee is payable when Store is sold | See Note 14 |
[Item 6: Other Fees]
(9) We have agreed to waive this fee for certain groups of franchisees who have signed Franchise Agreements as of March 31, 2015.
(11) Among other possible fees, you must pay us an administrative fee on product sold to key accounts and other customers for which you recognize Net Revenues, and reimburse us for certain
[Item 6: Other Fees]
(11) Among other possible fees, you must pay us an administrative fee on product sold to key accounts and other customers for which you recognize Net Revenues, and reimburse us for certain
operational expenses related to operation of the Omni-Channel Program that we or our affiliates have incurred.
(12) We have developed commercial sales assistance programs under which we: (a) provide personal one-on-one support and training to New Franchisees entering the System, who are opening their first Store (the "New Store Commercial Support") or (b) offer franchisees the opportunity to subcontract all or part of their commercial sales activities to us (the "Commercial as a Service"). New Franchisees opening their first Store must participate in the New Store Commercial Support during the first 12 months following the date they complete commercial sales training; provided that such franchisees will not pay for the first three months as those fees are covered as part of the Initial Franchise Fee. New Franchisees entering the System through a Store transfer and Stores underperforming in the area of commercial sales must participate in the Commercial as a Service for a minimum of 8 months unless we agree to waive the requirement.
(13) We have developed an inventory management assistance program under which we offer franchisees assistance with inventory management ("Inventory Planning as a Service Program"). All franchisees must participate in the Inventory Planning as a Service Program during the first 12 months of Store operations in any of the following situations: (a) new Store opening; (b) Franchise Agreement renewal; or (c) Franchise Agreement transfer (Store sale), unless we agree to waive the requirement. We will waive the fee for the first 6 months of Store operations.
[Item 6: Other Fees]
| Type of Fee | Amount (See Note 1) | Due Date | Remarks |
|---|---|---|---|
| Audit | Cost of audit plus 1½% interest per month from due date. | 30 days after billing | Payable only if audit shows an understatement of at least 2% of Net Revenues for any month. |
| Interest Expenses | Lesser of 18% per year or the maximum rate permitted by law | When due | Payable if you do not timely pay Royalty and Service Fee, NMF Fee, Digital Marketing Fee, or other amounts owed to Batteries or our affiliates. |
| Management Fee | Up to $500 per day plus cost and overhead | When due | Payable if you are in default under the Franchise Agreement and we elect to operate the Store until the default has been cured. |
| Insurance | Cost of insurance | Payable before opening | If you fail to obtain and maintain required insurance, we may immediately obtain insurance and you must promptly reimburse us for insurance, including late charges. |
| Software Support | Varies, currently $472 per month | Payable monthly | May increase up to 10% each calendar year. See Item 11 |
| Omni-Channel Maintenance Fees | Then-current fee as described in the Operations Manual, currently $200 per month. | Payable monthly | May increase up to 10% each calendar year. See Note 11and Item12 |
| Omni-Channel Program Fees | Varies, includes administrative fee on certain product and reimbursement of key account, e-commerce and other program expenses and services provided to you | Will vary depending on fee | May increase up to 10% each calendar year. See Note 11 and Item 12 |
| Avalara Avatax Service Fee | Varies, currently $26 per month | Payable monthly | May increase if our third party costs increase; any portion of the fee attributable to our overhead or administrative costs will not exceed 10% of the total fee |
| Type of Fee | Amount (See Note 1) | Due Date | Remarks |
| Payment Gateway Fee | Varies, currently $22 per month | Payable monthly | May increase if our third party costs increase; any portion of the fee attributable to our overhead or administrative costs will not exceed 10% of the total fee |
| Salesforce.com CRM Fee | Varies, currently $50 per month | Payable monthly | May increase if our third party costs increase; any portion of the fee attributable to our overhead or administrative costs will not exceed 10% of the total fee |
| Managed Security Services (PCI Compliance) Program Fee | Currently $170 per month | Payable monthly | May increase if our third party costs increase; any portion of the fee attributable to our overhead or administrative costs will not exceed 10% of the total fee See Item 11 |
| Regional Workshops and Supplemental and Refresher Training | Varies, currently $0 to $1,500 per day | When incurred | May increase up to 10% each calendar year. See Item 11 |
| Optional Commercial as a Service | Currently $1,785 per month for approximately 40 hours of supportper month. | Payable monthly | May increase up to 10% each calendar year. See Note 12 |
| New Store Commercial Support | Currently $1,150 per month | Payable monthly | May increase up to 10% each calendar year. See Note 12 |
| Inventory Planning as a Service | Currently $100 per month | Payable monthly | May increase up to 10% each calendar year. See Note 13 |
Source: Item 6 — Other Fees (FDD pages 18–24)
What This Means (2025 FDD)
According to the 2025 Batteries Plus Bulbs Franchise Disclosure Document, there is no fee listed in section (7). However, there are several fees that Batteries Plus Bulbs franchisees may be subject to. These fees include, but are not limited to, audit fees, interest expenses, management fees, insurance costs, software support fees currently at $472 per month, Omni-Channel Maintenance Fees currently at $200 per month, and Omni-Channel Program Fees. These fees are detailed in Item 6 of the FDD.
Other fees that Batteries Plus Bulbs franchisees may encounter include Avalara Avatax Service Fees currently at $26 per month, Payment Gateway Fees currently at $22 per month, Salesforce.com CRM Fees currently at $50 per month, and Managed Security Services (PCI Compliance) Program Fees currently at $170 per month. Additionally, franchisees may be required to pay for regional workshops and supplemental training, which currently range from $0 to $1,500 per day. There are also optional services such as Commercial as a Service, currently at $1,785 per month, New Store Commercial Support, currently at $1,150 per month, and Inventory Planning as a Service, currently at $100 per month.
Batteries Plus Bulbs also charges fees for the Annual Conference or Regional Meeting, ranging from $0 to $1,500 per person per event, plus lodging, meals, and travel expenses. A non-attendance fee of $0 to $2,000 per event is charged if a franchisee fails to attend. Franchisees may also incur costs related to products purchased through the Supply Chain Program and an Optional Resale Marketing Assistance Fee, which includes a $1,200 Launch Fee and a $7,500 Resale Marketing Fee. Some franchisees who signed agreements before March 31, 2015, may have certain fees waived.
New Batteries Plus Bulbs franchisees opening their first store must participate in the New Store Commercial Support program for the first 12 months, though the fees are waived for the first three months. Similarly, all franchisees must participate in the Inventory Planning as a Service Program during the first 12 months of store operations in certain situations, with the fee waived for the first 6 months. These fees can increase up to 10% each calendar year. Franchisees should carefully review Item 6 and related items in the FDD to understand all potential fees and their specific applicability.