From what date may Better Blend increase the Technology Fee limit to reflect inflation?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
es otherwise. BBF may add, remove, or alter the software or technology products or services that it provides. BBF may change Technology
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, Better Blend may increase the Technology Fee limit to reflect inflation starting January 1, 2022. The standard Technology Fee will not exceed $500 per month. However, Better Blend retains the right to adjust this maximum to account for inflation from the specified date.
This clause allows Better Blend to maintain the real value of the Technology Fee over time, protecting it from the effects of rising prices. For a franchisee, this means that the Technology Fee could increase periodically, although these increases are intended only to reflect the general rise in prices and not arbitrary increases by the franchisor.
It is important for prospective franchisees to understand how frequently Better Blend intends to adjust the Technology Fee for inflation and what index it will use to measure inflation. This information is not specified in the excerpt and should be clarified with Better Blend during the due diligence process to fully understand the potential financial impact.