Under what circumstances might Better Blend charge a fee for in-person support?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
ee after at least 30 days' notice. The Technology Fee will not exceed $500 per month (provided that BBF may increase this limit to reflect inflation from January 1, 2022).
- 4.5 Replacement / Additional Training Fee. If Franchisee sends an employee to BBF's training program after opening, BBF may charge its then-current training fee. As of the date of this Agreement, the training fee is $250 per person per day.
- 4.6 Non-Compliance Fee. BBF may charge Franchisee $500 for each instance of noncompliance with the System Standards or this Agreement (other than Franchisee's non-payment of a fee owed to BBF) which Franchisee fails to cure after 30 days' notice. Thereafter, BBF may charge Franchisee $250 per week until Franchisee ceases such non-compliance. This fee is a reasonable estimate of BBF's internal cost of personnel time attributable to addressing the noncompliance, and it is not a penalty or estimate of all damages arising from Franchisee's breach. The non-compliance fee is in addition to all of BBF's other rights and remedies (including default and termination under Section 14.2).
- 4.7 Reimbursement. BBF may (but is never obligated to) pay on Franchisee's behalf any amount that Franchisee owes to a supplier or other third party. If BBF does so or intends to do so, Franchisee shall pay such amount plus a 10% administrative charge to BBF within 15 days after invoice by BBF accompanied by reasonable documentation.
4.8 Payment Terms.
- (a) Method of Payment.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to the 2024 Better Blend Franchise Disclosure Document, Better Blend may charge a training fee if a franchisee sends an employee to the training program after the business has opened. As of the date of the Franchise Agreement, this training fee is $250 per person per day. This fee covers instances where additional or replacement training is required beyond the initial pre-opening training provided to the Principal Executive and up to three other employees.
Better Blend also outlines a non-compliance fee. Better Blend may charge $500 for each instance of noncompliance with the System Standards or the Franchise Agreement (excluding non-payment of fees owed to Better Blend) if the franchisee fails to correct the issue after 30 days' notice. If the non-compliance continues, Better Blend may then charge $250 per week until the franchisee rectifies the situation. This fee is designed to cover Better Blend's internal costs related to addressing the noncompliance and is not considered a penalty or a comprehensive estimate of all damages resulting from the franchisee's breach.
Additionally, if the Principal Executive fails to attend more than three consecutive required meetings, Better Blend may charge the franchisee the attendance fee for Better Blend's national or regional brand convention, regardless of whether the Principal Executive attends. The franchisee is also responsible for covering all travel and living expenses associated with attending any such meeting or convention. This policy ensures that franchisees remain engaged with the brand's standards and practices, with financial consequences for repeated absences from mandatory events.