factual

Who bears the expense of displaying advertising signs for a Beehive Homes franchise?

Beehive_Homes Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 7.3. Signs. Franchisor will provide to Franchisee one standard exterior sign which bears the name "BEE HIVE HOMES®" and which conforms with local requirements as to size and style. Additional signs may be purchased by Franchisee at its sole expense in accordance with specifications furnished by Franchisor.
  • 8.9. Advertising Conditions. Franchisee covenants to advertise and promote the Home and related services using the Standards for all Homes, at its cost and expense. Franchisee will not use any advertising or promotional materials (including any materials in digital, electronic or computerized form or in any form of media that exists now or is developed in the future) which have not been previously submitted to and approved in writing by Franchisor. Franchisee will immediately discontinue its use of any advertising or promotional material which is disapproved by Franchisor, even if previously approved. Further, Franchisee covenants that it will use only the website provided by Franchisor and that it will not maintain any other website or link to any other website relating to activities conducted in connection with this Agreement, without the express written approval of Franchisor.

Source: Item 23 — RECEIPTS (FDD pages 34–123)

What This Means (2025 FDD)

According to Beehive Homes' 2025 Franchise Disclosure Document, the franchisee is generally responsible for the expenses associated with advertising signs. Beehive Homes will provide the franchisee with one standard exterior sign bearing the name "BEE HIVE HOMES®" that conforms to local requirements. However, if the franchisee wants additional signs, they must purchase them at their sole expense and in accordance with the specifications provided by Beehive Homes.

This means that while Beehive Homes provides an initial standard sign, the franchisee bears the financial burden of any additional signage needed for their location. This could include the cost of the sign itself, as well as any installation or permitting fees.

Furthermore, the franchisee is obligated to advertise and promote their Beehive Homes location at their own cost and expense, adhering to the standards set for all locations. All advertising and promotional materials must be submitted to Beehive Homes for written approval, and the franchisee must discontinue using any disapproved material, even if it was previously approved. This extends to the franchisee's website, as they are generally required to use the website provided by Beehive Homes and cannot maintain any other website without express written approval.

Therefore, a prospective Beehive Homes franchisee should factor in the costs of additional signage and ongoing advertising and promotional activities when assessing the financial viability of the franchise. They should also be prepared to adhere to Beehive Homes' standards and obtain approval for all advertising materials.

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.