What is the cancellation fee that a Beehive Homes franchisee must pay upon termination?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
nation or expiration;
- (b) To pay to Franchisor a cancellation fee in the amount of Ten Thousand
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, a franchisee must pay a cancellation fee upon the occurrence of an event of default, termination, election not to renew, or expiration of the franchise agreement. This cancellation fee is $10,000.00. This fee is in addition to any other fees or charges owed to Beehive Homes before the termination or expiration date.
This means that if a Beehive Homes franchisee's agreement is terminated, whether due to a failure to meet the terms of the agreement or simply at the end of the agreement's term, the franchisee will be required to pay Beehive Homes $10,000.00. This fee is separate from any outstanding royalties, fees for supplies, or other financial obligations the franchisee may have.
It is important for prospective franchisees to understand all the conditions under which termination can occur and to factor this potential cost into their financial planning. Franchisees should also be aware that they must cease using Beehive Homes' trademarks and trade secrets upon termination or expiration of the agreement.