Is Best Brains or its affiliates allowed to make a profit on purchases made by the franchisee?

According to the 2025 Best Brains Franchise Disclosure Document, franchisees are required to reimburse Best Brains for the cost of the initial inventory order, including shipping costs. Specifically, franchisees must make these reimbursements via ACH transfer, as detailed in Schedule 3 of the Best Brains Franchise Agreement. This indicates that Best Brains receives payments from franchisees for inventory.

While the FDD excerpt confirms that franchisees reimburse Best Brains for initial inventory, it does not explicitly state whether Best Brains or its affiliates are allowed to profit from these purchases. The document only specifies that the franchisee agrees to reimburse the company for the cost of the initial inventory order, including shipping.

To fully understand the financial relationship, a prospective Best Brains franchisee should ask the franchisor directly whether the initial inventory costs include a markup or profit margin for Best Brains or its affiliates. Understanding the pricing structure and whether the franchisee is paying cost or retail for the initial inventory is crucial for assessing the overall profitability and fairness of the franchise agreement.