How long does a Best Brains franchisee have to search for a Center location under the Option Agreement?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS Franchisee desires to explore the possibility of acquiring an additional franchise territory from Franchisor;
WHEREAS Franchisee desires to secure the right for a period of 90 days to enter into a lease for a Center location and to obtain from Franchisor a Franchise Agreement for such possible new franchise territory;
WHEREAS Franchisor desires to grant to Franchisee the 90 day right to search for a possible Center location and to obtain a new Franchise Agreement for such possible new franchise territory;
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.
Franchisee shall pay to Franchisor, at the time of execution of this Agreement, a nonrefundable deposit of $2,500 for the rights described in Section 1 above. If Franchisee secures a lease for a Center location and new Franchise Agreement for that location, then the $2,500 shall be considered a deposit against the initial franchise fee on the new territory. If a Center location and new Franchise Agreement are not obtained in the 90 day period, then the $2,500 payment to Franchisor is nonrefundable as consideration for its rights given up under this Option Agreement.
Source: Item 5 — INITIAL FEES (FDD page 11)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, a franchisee has 90 days to search for a center location under the Option Agreement. This 90-day period, referred to as the "Deposit Period," allows the franchisee to secure a lease for a center and obtain a Franchise Agreement from Best Brains for a potential new territory.
To secure this option, the franchisee must pay a nonrefundable deposit of $2,500 at the time of executing the Option Agreement. If the franchisee successfully secures a lease and a new Franchise Agreement within the 90-day period, this $2,500 deposit will be credited towards the initial franchise fee for the new territory.
However, if the franchisee fails to obtain a center location and a new Franchise Agreement within the 90-day period, the $2,500 deposit is nonrefundable. This serves as consideration for the rights Best Brains gives up under the Option Agreement. Therefore, prospective franchisees should be prepared to potentially lose this deposit if they cannot find a suitable location and finalize the agreement within the specified timeframe.