When is the Best In Class Education Center Satellite Office Fee due?
Best_In_Class_Education_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
e Brand Fund. | |
| Type of Fee 1 | AMOUNT 2 | DUE DATE | REMARKS |
|---|---|---|---|
| Customer Service | Up to $500 per year (not currently imposed) | 10 days after invoice | Imposed to cover our costs if we implement a customer satisfaction program, such as collecting and evaluating data and feedback from customers to determine their satisfaction with your Center and identify potential modifications to the System to improve customer satisfaction. |
| Fee | |||
| Conference | Up to $350 per person per conference | 10 days after invoice | We may hold conferences to discuss matters affecting franchisees. Attendance is mandatory unless we designate attendance as optional or we waive your obligation to attend based on showing of good cause. |
| Registration Fee | |||
| Gift Card Program Fees | Up to $50 per month per Center (not currently imposed) | 10 days after invoice or as we otherwise specify | You must participate in any gift card program we establish and pay required fees and contributions to us or a third party to administer the program. |
| Product Purchases | Varies depending on item purchased (not currently imposed) | 10 days after invoice | We may serve as a System supplier for goods and services you must purchase. If this occurs, we will provide you with a price list upon request. |
| Relocation Fee | $1,000 for each new site you propose plus Travel Expenses | At time new site proposed | You may not relocate your Center without our approval. If we allow you to relocate, you must pay us the $1,000 fee and reimburse all Travel Expenses we incur to visit new sites you propose. We refund 75% of the fee if we reject the site. |
| Satellite Office Fee (per office) | [If Office Located Inside Your Center Territory] $5,000 per office [If Office Located Outside Your Center Territory] $22,500 per office | At time you sign Satellite Office Addendum | See Note 4 for a description of the other fees you pay relating to a Satellite Office. |
| Renewal Fee | $2,500 | At time you sign renewal agreement | Imposed if you renew your franchise rights by signing a renewal Franchise Agreement. |
| Transfer Fee | 60% of then-current initial franchise fee (reduced to 40% if buyer is an existing franchisee) | Before Transfer | You pay the transfer fee for all Transfers other than Permitted Transfers. If our broker finds the buyer, you must also reimburse us for all commissions we pay the broker. |
| Audit Fee | Actual cost of audit (plus Travel Expenses for audit team) | 10 days after invoice | Imposed if audit (a) is required because you fail to submit required data or reports in a timely manner or (b) reveals you understated sales by 3% or more. |
| Late Fee | $100 plus default interest at lesser of (a) 15% per annum (prorated on daily basis) or (b) highest rate allowed by applicable law | 10 days after invoice | If our debit of your account is rejected or your check is returned for insufficient funds, we may charge (in addition to the late fee) an NSF fee of $50 per incident. Default interest is limited to 10% per annum in California. |
| Noncompliance fee | $500 per incident | Upon demand | Imposed if you breach a mandatory standard or operating procedure (including submission of required reports) and fail to cure within the time period we require. We may impose an additional $100 fee every 48 hours the breach remains uncured after we impose the initial fee. We |
Source: Item 6 — OTHER FEES (FDD pages 12–17)
What This Means (2025 FDD)
According to the 2025 Best In Class Education Center FDD, the Satellite Office Fee is due at the time you sign the Satellite Office Addendum. The amount of this fee depends on the location of the satellite office. If the satellite office is located inside your Center Territory, the fee is $5,000. However, if the satellite office is located outside your Center Territory, the fee is $22,500.
This means that a prospective Best In Class Education Center franchisee needs to be prepared to pay either $5,000 or $22,500 when they formally agree to open a satellite office, depending on its location relative to their existing territory. This fee is in addition to other potential costs associated with opening and operating a satellite office, such as the Systems Implementation Fee.
It is important for prospective franchisees to carefully consider the location of their satellite office, as this will significantly impact the amount of the Satellite Office Fee. They should also review the Satellite Office Addendum to fully understand all of the terms and conditions associated with operating a satellite office. Note 4 of Item 6 provides additional information regarding other fees associated with a Satellite Office.