How long does a Best Brains franchise remain in a Probationary Period after a poor audit?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
- (4) 6-12 months after enrolling the first student, and at any time thereafter, the franchise will be audited.
Upon a poor review, royalty fees will increase to 18% and the franchised location will enter a Probationary Period for up to 6 months.
Upon subsequent audits, conducted at random, if the franchise has a poor review, the royalty will remain at 18% and reestablish a Probationary Period.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, a franchised location will enter a Probationary Period for up to 6 months following a poor audit. This audit occurs 6-12 months after enrolling the first student, and at any time thereafter. During this probationary period, the royalty fees increase from 14% to 18% of Regular Gross Sales.
If subsequent random audits also result in a poor review, the royalty will remain at 18%, and the Probationary Period will be reestablished. The FDD does not specify the length of the reestablished Probationary Period, but it can be inferred that it would also be up to 6 months, as was the case with the initial period.
This policy means that franchisees need to maintain high standards to avoid increased royalty fees and probationary status. Prospective franchisees should consider the implications of a poor audit and the potential impact on their profitability. They should also inquire about the specific criteria used in the audits to ensure they understand what is expected of them.