For a Beehive Homes franchise in Illinois, when is the initial franchise fee paid?

According to Beehive Homes' 2025 Franchise Disclosure Document, the standard payment schedule for the initial franchise fee is modified for franchises located in Illinois. Typically, the initial franchise fee of $75,000 is paid in two installments: one-third upon signing the agreement, and the balance upon the earlier of construction loan funding or the issuance of a building permit. However, for Illinois franchisees, the payment of the initial franchise fee is deferred.

Specifically, Illinois franchisees are not required to pay the initial franchise fee until Beehive Homes has fulfilled its initial obligations to the franchisee. Furthermore, the franchisee must have commenced business operations before the initial franchise fee is due. This deferral is a financial assurance requirement imposed by the Office of the Illinois Attorney General due to Beehive Homes' financial status.

This modification provides a significant benefit to franchisees in Illinois, as it reduces their upfront financial risk. Franchisees can ensure that Beehive Homes is actively supporting them and that their business is operational before committing to the full initial franchise fee. Prospective franchisees should confirm with Beehive Homes what constitutes fulfillment of their initial obligations and what documentation is required to demonstrate the commencement of business operations.