Which items in the Bee Organized Disclosure Document relate to fees?
Bee_Organized Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 6: OTHER FEES]
Explanatory Notes to Item 6
Note 1: Type of Fee – The above table describes fees and payments that you must pay to us, our affiliates, or that our affiliates may impose or collect on behalf of a third party. All fees are uniformly imposed for all franchises offered under this Disclosure Document, are recurring, are not refundable, and are payable to us, unless otherwise specified. Payment is subject to our specification and instruction, including, our election to have all fees automatically drafted from your business bank account or automatically debited or charged to your business bank account. You will be required to sign an ACH Authorization Form (Franchise Agreement, Exhibit 4) permitting us to electronically debit your designated bank account for payment of all fees payable to us and/or our affiliates. You must deposit the Gross Sales of your Bee Organized Business into the designated bank accounts that are subject to
our ACH authorization. You must install and use, at your expense, the pre-authorized payment, point of sale, credit card processing, automatic payment, automated banking, electronic debit and/or electronic funds transfer systems that we designate and require in the operation of your Bee Organized Business. You must pay all service charges and fees charged to you by your bank so that we may electronically debit your bank account.
Note 2: Royalty Fees – You must pay to us a continuing royalty fee (the "Royalty Fee"). The continuing Royalty Fee is a monthly fee equal to the greater of: (a) a sum equal to 8% (the "Royalty Rate") of your monthly Gross Sales; or (b) the amount of your then applicable minimum monthly Royalty Fee requirement (the "Minimum Monthly Royalty Fee Requirement. The Minimum Monthly Royalty Fee Requirement depends on the number of Territories located within and comprising your Operating Territory and is determined in accordance with the following schedule:
Note 6: Vehicle – You must use an approved vehicle for all client visits. The low end of this estimate assumes you already own a vehicle that meets our standards and specifications. The high end of this estimate is for four months of lease installment payments for one vehicle for the one month before the opening of your Franchised Business and three months following the opening of your Franchised Business. These payments will be an on-going expense throughout the operation of your Bee Organized Business. The vehicle must meet our standards and specifications, be registered and insured as a commercial vehicle, and be in a relatively new and clean condition. Typical vehicles that we approve include mini SUVs. You are not required to brand your vehicle, however, if you elect to brand your vehicle, the costs would be approximately $3,700. This estimate assumes you operate with an unbranded vehicle.
Note 7: Start-Up Marketing Expense – You are required to engage in digital marketing to enhance lead generation prior to and during the initial three month period following the opening your Bee Organized Business. If you elect to participate in digital marketing with our approved vendors, the minimum monthly advertising spend is $400, with a one time set up fee of $275, totaling $675 the first month. Subsequent months will also have a $175 monthly maintenance fee in addition to the minimum monthly advertising spend.
Note 8: Insurance Deposits – Three Months – You are required to maintain minimum insurance coverage as designated by us. This estimate is for the cost of an initial deposit to obtain the minimum required insurance, equal to the initial three months of monthly insurance installment premium payments. We recommend that you consult with your insurance agent before signing a Franchise Agreement.
Note 9: Travel for Initial Training – You must complete our pre-opening training program, Colony College, before opening your Bee Organized Business, which will be held in Overland Park, Kansas. We do not charge a fee for our pre-opening initial training. This estimate is for estimated travel and lodging expenses that you will incur to attend our pre-opening initial training program.
Note 10: Professional Fees – This estimate is for costs associated with the engagement of professionals such as attorneys and accountants for advisories consistent with the start-up of a Bee Organized Business. We recommend that you seek the assistance of professional advisors when evaluating this franchise opportunity, this Disclosure
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD page 23)
What This Means (2025 FDD)
According to the 2025 Bee Organized Franchise Disclosure Document, Item 6 and Item 7 directly address various fees associated with the franchise. Item 6 outlines 'Other Fees' and provides explanatory notes detailing the types of fees, payment methods, and the franchisee's obligation to use specific payment systems. It also discusses the royalty fees, which are a percentage of gross sales or a minimum monthly fee, depending on the number of territories in the operating territory. Item 7 discusses the estimated initial investment, including costs such as vehicle expenses, start-up marketing, insurance deposits, travel for initial training, and professional fees.
Specifically, Item 6 clarifies that all fees are uniformly imposed, recurring, non-refundable, and payable to Bee Organized unless otherwise specified. Franchisees are required to sign an ACH Authorization Form, allowing Bee Organized to electronically debit their bank account for fee payments. The royalty fee is the greater of 8% of monthly gross sales or a minimum monthly amount tied to the number of territories.
Item 7 provides estimates for various initial costs. For example, franchisees must use an approved vehicle, and the estimate includes lease payments. Digital marketing is required, with initial and ongoing monthly costs. Franchisees also need to cover insurance deposits and travel expenses for the initial training program in Overland Park, Kansas. Additionally, Item 7 includes an estimate for professional fees for attorneys and accountants. These fees are estimates based on the experiences of Bee Organized's affiliate and franchisees, and actual costs may vary.
Prospective franchisees should carefully review both Item 6 and Item 7 to understand the full scope of fees and initial investment costs associated with a Bee Organized franchise. Understanding these costs is crucial for financial planning and assessing the overall viability of the franchise opportunity.