Is the initial franchise fee for Belocal waived for franchises entered into after the Issuance Date of the disclosure document?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
The initial franchise fee for a Franchised Business is $735. However, we are waiving the initial franchise fee for franchises offered or entered into on or after the Issuance Date of this disclosure document that facilitate the publishing of a new publication, unless this disclosure document is amended to reflect otherwise.
We reserve the right to charge the initial franchise fee of $735 if the franchise is for the management of a publication that was formerly a Bridge Publication.
If we were to charge a franchise fee, the fee would be non-refundable and due in a lump sum. Last year, we uniformly waived the initial franchise fee for both new publications and Bridge Publications.
Source: Item 5 — INITIAL FEES (FDD pages 13–14)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the initial franchise fee is generally $735. However, Belocal is waiving this fee for franchises offered or entered into on or after the Issuance Date of the document, provided that the franchise facilitates the publishing of a new publication. This waiver is in effect unless the disclosure document is amended to reflect otherwise. The Issuance Date of the Franchise Disclosure Document is October 10, 2025. Therefore, if a new Belocal franchise is offered or entered into after October 10, 2025, and it involves publishing a new publication, the initial franchise fee of $735 will be waived.
However, there is an exception to this waiver. Belocal reserves the right to charge the initial franchise fee if the franchise is for the management of a publication that was formerly a Bridge Publication. In such cases, the $735 fee would apply, even if the franchise agreement is entered into after the Issuance Date.
It's important to note that if the initial franchise fee is charged, it is non-refundable and due in a lump sum. The FDD also mentions that in the previous year, Belocal uniformly waived the initial franchise fee for both new publications and Bridge Publications, but this does not guarantee the same will occur in the future. Prospective franchisees should confirm the current fee policy with Belocal to ensure they have the most up-to-date information.