factual

When does the Bft franchisee's obligation to contribute to the Fund commence?

Bft Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee will be required to pay the appropriate Fund Contribution to Franchisor as described in Section 5.6 of this Agreement.

In the event Franchisor increases the Fund Contribution from what it is as of the Effective Date, Franchisor will provide at least sixty (60) days' written notice of such increase in the Fund Contribution, subject to the Marketing Expenditure Cap (as defined in Section 9.2.G).

Source: Item 23 — RECEIPTS (FDD pages 79–265)

What This Means (2025 FDD)

According to Bft's 2025 Franchise Disclosure Document, franchisees are required to pay the appropriate Fund Contribution to the Franchisor as described in Section 5.6 of the agreement. This obligation begins when the franchise agreement is in effect.

In the event that Bft increases the Fund Contribution from what it is as of the effective date, the franchisor will provide at least sixty (60) days' written notice of such increase. This is subject to the Marketing Expenditure Cap as defined in Section 9.2.G of the agreement.

As a prospective franchisee, it's important to understand the details outlined in Section 5.6 to fully grasp the initial and ongoing financial obligations related to the Fund Contribution. Furthermore, franchisees should pay close attention to any notices regarding potential increases to the fund and how those increases might affect their overall marketing expenditure cap.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.