What startup costs does Best Brains financing cover?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 10. FINANCING
We offer the following financing program:
| Item Financed | Startup costs up to $30,000 will be offered to Teacher Centers. This can include but is not limited |
|---|---|
| to: furniture, build out, contractor pay, rent etc. | |
| Source of Financing | Us |
| Down Payment | Minimum of $3,000 |
| Amount Financed | Up to $30,000 |
| Interest Rate/Finance Charge | 0% |
| Period of Repayment | 24 months-beginning on the first day of class |
| Security Required | None |
| Whether a Person Other than the Franchisee Must | No |
| Personally Guarantee the Debt | |
| Prepayment Penalty | None |
| Liability Upon Default | Accelerated obligation to pay the entire amount due, pay our court costs and attorney fees incurred in collecting the debt, and termination of the franchise. |
| Waiver of Defenses or Other Legal Rights | Waiver of right to jury trial; homestead and other |
| exemptions; waiver of presentment |
Source: Item 10 — FINANCING (FDD pages 22–23)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, Best Brains offers financing for startup costs up to $30,000 for Teacher Centers. This financing can be used for various expenses associated with starting the business.
The covered startup costs include, but are not limited to, furniture, build-out expenses, payments to contractors, and rent. This means a new Best Brains franchisee can potentially use the financing to offset these initial investments, reducing the upfront capital required from their own funds.
The financing terms include a 0% interest rate and a repayment period of 24 months, beginning on the first day of class. A minimum down payment of $3,000 is required. While no specific security is required, defaulting on the loan results in accelerated obligation to pay the entire amount due, covering Best Brains' court costs and attorney fees incurred in collecting the debt, and potential termination of the franchise agreement. This arrangement could be more favorable than traditional bank loans, especially with the 0% interest rate, but franchisees must be aware of the default terms.