Did Bevaris Alliance waive initial franchise fees during 2022, and if so, why?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
erate the same type of business as the Company. Any transactions between the Company and the affiliate and other related parties are also summarized.
Bevaris A
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 FDD, Bevaris Alliance charged franchise fees to its affiliate, Bevaris Alliance, Inc. (BAI), during 2022. The franchise fees incurred by BAI and payable to Bevaris Alliance in 2022 amounted to $72,226. This indicates that Bevaris Alliance did not waive initial franchise fees for its affiliate during that year.
BAI, owned by the same member as Bevaris Alliance, also made payments on behalf of the company for legal, professional, and other costs related to establishing the company and developing the franchise network. Additionally, BAI shares office space with Bevaris Alliance, splitting 50% of the monthly rent.
Prospective franchisees should note that transactions between Bevaris Alliance and its affiliates are disclosed in the FDD. These transactions, such as the payment of franchise fees by BAI, provide insight into the financial relationships within the Bevaris Alliance network. Understanding these relationships can help franchisees assess the financial stability and operational structure of the franchise system.