To whom might 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 may be paid either to performing rights organizations (PROs) or to Bft's Approved Supplier. This supplier could be Bft itself or one of its affiliates.
The amount of the Music Licensing Fee is determined by the charges from the providers and/or applicable performing rights organizations for music licensing. The due date for this fee is as invoiced or otherwise agreed upon.
Bft also assumes that 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. However, 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.