When is the renewal fee of $5,000 due for a Benjamin Franklin Plumbing franchise?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
| (1) Type of Fee | Amount | Date Due | Remarks |
|---|---|---|---|
| Annual Conference | Determined by us based on our anticipated costs of the conference. The attendance fee may vary based on the location of the conference, the number of attendees under your registration, the timing of your registration relative to the conference date, and other factors. | As invoiced | Applies only if we schedule an annual conference for franchisees. See Note 6 for additional information on conference attendance fees. |
| Non-attendance Fee | $500 for the first missed conference and then $2,000 for any conference missed consecutively thereafter. | As invoiced | If the individuals required to attend our annual conference fail to attend, you must pay the non-attendance fee. |
| Call Center Fee | Currently, $2.05 per call and $29 per call that results in a booked customer. | As incurred. | See Note 7 for information on "live" voice and designated call center requirements. |
| Service Deficiency | Our actual costs | As invoiced | Payable if we receive a customer complaint about services you performed and we determine that (i) there is merit to the complaint, (ii) the complaint is the result of a contract dispute between you and the customer, and/or (iii) there has been a violation of local, state, or federal law and we elect to either re-perform the services to the customer's satisfaction or reimburse the customer. |
| Renewal Fee | $5,000 | When you sign successor Franchise Agreement | When your agreement term ends, you will |
Source: Item 6 — OTHER FEES (FDD pages 18–27)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the renewal fee of $5,000 is due when you sign the successor Franchise Agreement. This fee is applicable if a franchisee chooses to continue the franchise relationship at the end of their current agreement term, subject to certain conditions that Benjamin Franklin Plumbing would outline in the successor agreement.
Franchise agreements typically have a set term, and renewal is not automatic. The franchisee must meet certain criteria and execute a new agreement. The $5,000 renewal fee is a fairly standard cost in the franchise industry for the administrative and legal work involved in preparing the new agreement and ensuring the franchisee's continued compliance with Benjamin Franklin Plumbing's standards.
Prospective franchisees should carefully review the conditions for renewal in the Franchise Agreement to understand what is required to qualify for a renewal. They should also inquire about any potential changes in the terms of the new Franchise Agreement compared to the original, as these could impact their business operations and profitability.