When is the Alternative Supplier Approval fee due for Bft?

According to Bft's 2025 Franchise Disclosure Document, the Alternative Supplier Approval fee is due at the time of the request. This fee covers $500 per day for personnel, plus any expenses Bft incurs while evaluating and potentially approving an alternative supplier proposed by the franchisee. In addition to the daily personnel fee, the franchisee is responsible for reimbursing Bft for travel, accommodations, and meal expenses related to the supplier approval process.

This means that if a Bft franchisee wants to use a supplier not already approved by Bft, they will need to pay this fee upfront to cover Bft's costs of investigating and approving the new supplier. The total cost will depend on how long the approval process takes and the expenses incurred by Bft during the evaluation.

Franchisees should carefully consider the potential costs before requesting approval for an alternative supplier. It would be prudent to discuss the approval process and potential expenses with Bft beforehand to get a better estimate of the total cost. This up-front payment requirement is not uncommon in franchising, as it protects the franchisor from incurring expenses without assurance of reimbursement.