What does Bevaris Alliance provide to its franchisees as part of the franchise system?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
utions | _(197) | ( 2,557 ) | | NET CASH PROVIDED (USED) BY FINANCING | | | | ACTIVITIES (5522, 21 521616216 | 25,042 | 73,233 | | NET INCREASE CASH AND CASH EQUIVALENTS | 2,730 | 208,488 | | CASH AND CASH EQUIVALENTS AT | | | | BEGINNING OF PERIOD | 256,474 | 47,986 | | CASH AND CASH EQUIVALENTS AT | | | | DECEMBER 31 | $ 259,204 | $ 256,474 |
Franchimp
BEVARIS ALLIANCE FRANCHISCHISCHISCHISCHISCHISCHISCHISCHISCHIS
1. ORGANIZATION:
Bevaris Alliance Franchise System, LLC ("the Company", a Delaware limited liability company) offers franchises for BevarisAlliance® (the Franchise), which will market, sell and provide home cooked meals that meet the dietary and nutritional needs of students and faculty of private and public schools including institutions of higher learning. The Company will contract with schools, institutions and other businesses to provide a food delivery system and will assign such contract to franchisees. The Company offers franchises throughout the United States of America and will provide trademarks, services marks, and a system which includes operational and marketing policies, procedures and programs as well as training. The Company was formed on March 15, 2021. Membership interest is summarized as follows:
Member% InterestBenice Shamoon100%
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
Basis of presentation. The financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America.
Cash consists of cash and money market funds which are considered to be cash or cash equivalents.
Deferred Franchise Development Costs. Costs incurred in connection with the development of the franchise concept, offering documents and operations manuals have been deferred. The costs are being amortized using the straight-line method over the 5-year estimated useful life of the asset. Such amortization will begin when franchise sales commence.
Initial franchise fees and royalties. Initial franchise fee is recognized when the obligations required by the franchise agreement has been substantially performed by the Company which is when the franchisee begins operating the franchised business. Initial franchise fees is $5,000 for the first franchise, $3,750 for the second franchise and $2,500 for each franchise thereafter. Such obligations include, site selection, provision of operations manuals, marketing plans, Company sponsored internet site, initial training, and other services necessary for the franchisee to commence operations. The Company has elected to apply the practical expedient pursuant to ASC 952-606-25-2 in which the pre-opening services provided to the franchisees and specified above are treated as a single performance obligation.
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, Bevaris Alliance offers franchises to market, sell, and provide home-cooked meals that meet the dietary and nutritional needs of students and faculty of private and public schools, including institutions of higher learning. Bevaris Alliance contracts with schools, institutions, and other businesses to provide a food delivery system and will assign such contracts to its franchisees.
As part of the franchise system, Bevaris Alliance provides trademarks, service marks, and a system that includes operational and marketing policies, procedures, and programs, as well as training. The company also provides site selection assistance, operations manuals, marketing plans, a company-sponsored internet site, and initial training to help franchisees commence operations. These pre-opening services are treated as a single performance obligation by Bevaris Alliance.
Bevaris Alliance has developed a Branded Business, carried on under the Trade Name, and has built up a substantial reputation and goodwill in the Trade Name, which is associated with high standards of service. Bevaris Alliance is the exclusive owner of all rights in the Trademarks and has developed specialized Products and Services to be used in the Branded Business, with the current range of Products and Services listed in the Manual. Bevaris Alliance also owns Intellectual Property rights in the System and has applied to register or has registered the Trademarks which are associated with the Products and/or Services.