factual

For Beehive Homes, under what condition is the payment of the initial franchise fee deferred?

Beehive_Homes Franchise · 2025 FDD

Answer from 2025 FDD Document

The Virginia State Corporation Commission's Division of Securities and Retail Franchising requires us to defer payment of the initial franchise fee and other initial payments owed by franchisees to the franchisor until the franchisor has completed its pre-opening obligations under the franchise agreement.

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

What This Means (2025 FDD)

According to Beehive Homes's 2025 Franchise Disclosure Document, the Virginia State Corporation Commission's Division of Securities and Retail Franchising mandates the deferral of the initial franchise fee and other initial payments owed by franchisees to Beehive Homes. This deferral remains in effect until Beehive Homes has fulfilled its pre-opening obligations as outlined in the franchise agreement.

This requirement is specific to franchisees operating in Virginia. It ensures that Beehive Homes completes its responsibilities, such as providing training, site selection assistance, and other support, before the franchisee is required to pay the initial franchise fee. This offers a level of protection to the franchisee, ensuring they receive the agreed-upon services before committing to the full financial obligation.

For prospective Beehive Homes franchisees in Virginia, this deferral can be a significant benefit, reducing the upfront financial burden and aligning payments with the progress of establishing their franchise. It is important for franchisees to understand the specific pre-opening obligations outlined in the franchise agreement to ensure Beehive Homes is meeting its requirements and to be aware of when the initial franchise fee payment will be due.

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.