What methods of payment are acceptable for the additional initial franchise fees for a Better Blend franchise?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of expenditure | Amount | Method of payment | When due | To whom payment is to be made | |
|---|---|---|---|---|---|
| Additional initial franchise fees (see Note 4) | $27,500 | - $47,500 | Check or wire transfer | Upon signing the MUDA | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 15–17)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, the acceptable methods of payment for additional initial franchise fees are check or wire transfer. These fees range from $27,500 to $47,500.
The additional initial franchise fees are associated with signing a Multi-Unit Development Agreement (MUDA). Note 4 in Item 7 states that the estimate assumes you sign a MUDA for three to five franchises. The initial franchise fees are reduced for subsequent franchises: $30,000 for the second, $25,000 for the third, and $20,000 for the fourth and each additional franchise.
The FDD specifies that 50% of the additional franchise fees are due upon signing the MUDA. This means a prospective franchisee needs to have the funds readily available in the form of a check or be prepared to execute a wire transfer at the time of signing the agreement.