What happens to the Option Agreement fee for Best Brains if a Franchise Agreement is signed?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
nd shall inure to the benefit of Holder, its successors and assigns.
This Note shall be construed in all respects and enforced according to the laws of the State of Illinois.
| WITNESS the following signature(s) and seal(s): | |
|---|---|
| Maker: | |
| (Enter Name of Entity Here) | |
| By: | |
| Printed Name: | Title: |
EXHIBIT D
OPTION AGREEMENT
This Option Agreement is entered into as of the Effective Date entered below between the below named Franchisee ("Franchisee") and Best Brains, Inc. ("Franchis
Source: Item 5 — INITIAL FEES (FDD page 11)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, the Option Agreement allows a prospective franchisee to explore acquiring an additional franchise territory. To secure this right for 90 days, the franchisee pays a nonrefundable deposit of $2,500.
If the franchisee successfully secures a lease for a center location and a new Franchise Agreement within that 90-day period, the $2,500 deposit is then credited towards the initial franchise fee for the new territory. This means the franchisee will pay $2,500 less for the initial franchise fee.
However, if the franchisee does not secure a lease and a new Franchise Agreement within the 90-day period, the $2,500 payment is nonrefundable. This serves as consideration for the rights Best Brains gave up under the Option Agreement. Therefore, it is important for prospective franchisees to carefully consider their ability to secure a location and agreement within the given timeframe before entering into an Option Agreement with Best Brains.