For Best Brains, what is the duration of the Deposit Period granted to the franchisee?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor hereby grants to Franchisee the right for 90 days ("Deposit Period") to enter into one a lease for a Center location and to obtain from Franchisor a Franchise Agreement for such possible new franchise territory.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, franchisees are granted a 90-day "Deposit Period" to secure a lease for a center location and obtain a Franchise Agreement for a new franchise territory. This option is part of an Option Agreement between the franchisee and Best Brains.
During this 90-day period, the franchisee has the right to find a suitable location for their Best Brains center. To secure this right, the franchisee must pay a nonrefundable deposit of $2,500 upon execution of the Option Agreement.
If the franchisee successfully secures a lease and a new Franchise Agreement within the 90-day period, the $2,500 deposit is credited towards the initial franchise fee for the new territory. However, if the franchisee fails to obtain a lease and a new Franchise Agreement within the specified 90-day period, Best Brains keeps the $2,500 as consideration for the rights granted under the Option Agreement.