To whom is the Bevaris Alliance franchise fee paid?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
INITIAL INVESTMENT
| Type of Expenditure | Amount Est. Low Range | Amount Est. High Range | Method of Payment | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|---|
| Franchise Fee for a single franchise (Note 1) | $25,000 | $25,000 | Lump sum | On signing franchise agreement | Us |
| Rebate (3 months) | $1,500 | $12,000 | Installment | Monthly | Client |
| POS/Back Office | $500 | $5,000 | Lump sum | As incurred | Ap |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 10–11)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, the franchise fee is paid directly to Bevaris Alliance. The table in Item 7 outlines the estimated initial investment for a prospective franchisee, detailing various expenditures, payment methods, due dates, and recipients.
The franchise fee for a single franchise is a lump sum payment of $25,000, due upon signing the franchise agreement. This fee is paid directly to 'Us,' which, as clarified in Note 1, refers to Bevaris Alliance itself. Note 1 also states that, with the exception of the Franchise Fee, all fees are non-refundable.
Understanding where initial investment funds are directed is crucial for new franchisees. In the case of Bevaris Alliance, knowing that the franchise fee is paid directly to the company provides clarity on the financial relationship between the franchisee and franchisor from the outset. This transparency helps in budgeting and financial planning during the initial stages of establishing the franchise.