factual

If a franchisee defaults on a loan, will Ben Jerrys provide financial assistance?

Ben_Jerrys Franchise · 2025 FDD

Answer from 2025 FDD Document

Except as listed below, we are not required to provide you with any assistance.

Source: Item 10 — FINANCING (FDD page 43)

What This Means (2025 FDD)

Based on the 2025 Ben Jerrys Franchise Disclosure Document, it is not explicitly stated whether Ben Jerrys will provide financial assistance if a franchisee defaults on a loan. Item 11 outlines the assistance Ben Jerrys provides to franchisees, which primarily focuses on pre-opening support such as location review, design specifications, initial training, and access to the operations manual.

Item 22 details various contractual obligations and potential default scenarios, but it does not mention any financial assistance from Ben Jerrys to franchisees who default on loans. Instead, it describes conditions under which Ben Jerrys may terminate the franchise agreement due to the franchisee's failure to meet financial obligations or other contractual terms. These include failure to pay monies owed to Ben & Jerry's, maintaining false records, or misuse of proprietary marks.

Given the absence of explicit information regarding financial assistance for loan defaults, prospective franchisees should directly inquire with Ben Jerrys about their policies on financial support in such situations. Understanding the franchisor's stance on financial assistance during times of financial distress is crucial for assessing the overall risk and support structure of the franchise.

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.