What is the weekly non-compliance fee charged by Better Blend after the initial 30-day notice period?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| $500 per instance | On demand | We may charge you $500 for any aspect | |
| of your business which is not in | |||
| compliance with our system specifications | |||
| or the franchise agreement and you fail to | |||
| correct the non-compliance after 30 days’ | |||
| notice. Thereafter, we may charge you | |||
| $250 per week until you correct such non- | |||
| compliance. |
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, franchisees may be subject to a non-compliance fee. Better Blend may charge a franchisee $500 for any aspect of their business that does not comply with the system specifications or the franchise agreement. This fee is only applied if the franchisee fails to correct the non-compliance after receiving a 30-day notice.
Following the initial $500 charge and the 30-day notice period, Better Blend may then charge the franchisee a weekly non-compliance fee. This weekly fee is $250 and continues to be charged each week until the franchisee corrects the issue of non-compliance.
This policy is designed to ensure that all Better Blend franchise locations adhere to the brand's standards and operational guidelines. It is important for prospective franchisees to understand these potential fees and ensure they have a plan to address any compliance issues promptly to avoid incurring these charges.