How does a Bft franchisee pay the Music Licensing Fee?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
e terms that are applied to your first site selection. |
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Music Licensing 4 Fee | Amounts charged by the providers and/or applicable performing rights organizations (PROs) for such music licensing | As invoiced or otherwise agreed | We may require that the music licensing fee (the "Music Licensing Fee") amount be paid directly to performing rights organizations (PROs) or to our then-current Approved Supplier (which may be us or our affiliate) that handles and manages these licenses for System franchisees. |
| Insurance Policies 5 | Amount of unpaid premium | As agreed | Payable only if you fail to maintain required insurance coverage and we elect to obtain coverage for you. |
Source: Item 6 — OTHER FEES (FDD pages 21–26)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, the Music Licensing Fee is paid as invoiced or as otherwise agreed upon. The amount of the fee is determined by the charges from the providers and/or applicable performing rights organizations (PROs) for such music licensing.
Bft may require franchisees to pay the Music Licensing Fee directly to performing rights organizations (PROs) or to their then-current Approved Supplier, which could be Bft or its affiliate. This Approved Supplier would handle and manage these licenses for Bft System franchisees.
The FDD also states that Bft assumes franchisees will directly clear music with ASCAP, BMI, SESAC, and GMR and that they do not play music in their Studio from any other performing rights organizations. If a franchisee chooses to obtain music clearances from an approved vendor, they may incur higher prices than direct payments to the performing rights organizations.