When is the Product or supplier evaluation fee due for a Bevaris Alliance franchise?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remark s |
|---|---|---|---|
| Third Party | Up to $500 per quarter. | Upon invoice. | |
| Quality Assurance | |||
| Audit Fee | |||
| Technology Fee | Will vary under circumstances | As incurred. | Fee for any software licenses used in the ordinary course of business. |
| Franchise Portal | Up to $250 per month. | As incurred. | Fee for Franchise Portal. |
| Fee | (see Note 6) | ||
| Convention Fee | Travel fees and out of pocket expenses but no attendance fee (suggested cost up to $500 per day). | As incurred. | |
| Indemnity | Will vary under circumstances. | As incurred. | You have to reimburse us if we are held liable for claims arising from your Branded Business’s operations. |
| Noncompliance Fee | A $100.00 fee per occurrence. | As incurred | Fee for noncompliance with the Franchise Agreement clause 7. |
| Product or supplier evaluation fee | No fee. | Upon completion of evaluation. | Due if the product or supplier is not approved. |
| Costs and Attorneys’ Fees | Will vary under circumstances. | As incurred by you. | Payable to your attorney for any legal work done to assist you. |
Source: Item 6 — OTHER FEES (FDD pages 8–10)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, the product or supplier evaluation fee is due upon completion of the evaluation. However, this fee is only applicable if the product or supplier being evaluated is not approved by Bevaris Alliance. If the product or supplier is approved, there is no fee.
This means that a prospective Bevaris Alliance franchisee will not incur this fee unless they propose a product or supplier that deviates from the franchisor's approved list and that proposed product or supplier fails to meet Bevaris Alliance's standards during the evaluation process. The FDD does not specify the criteria used for evaluation, so it is important for a prospective franchisee to understand these standards to minimize the risk of incurring this fee.
It is important to note that the amount of the product or supplier evaluation fee is listed as "No fee." This seems contradictory to the statement that the fee is due if the product or supplier is not approved. A prospective franchisee should seek clarification from Bevaris Alliance regarding this apparent discrepancy to fully understand the potential costs associated with product or supplier evaluations.