Is the Technology Fee for Bft refundable under any circumstances?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
under any circumstances.
Reduced Technology Fee
As of your Studio's Soft Opening, you will be required to commence paying us a technology fee for the technology services we provide as part of the System (the "Technology Fee"), which is currently $715 per month. However, upon the commencement of your Pre-Sales Phase, you must begin paying us a reduced Technology Fee in the amount of $250 per month. As such, we estimate that your payment of Technology Fees for five (5) months prior to your Studio's Soft Opening will be $1,250. The Technology Fee is payable in a lump sum, is uniformly impo
Source: Item 5 — INITIAL FEES (FDD pages 18–21)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, the Technology Fee is not refundable under any circumstances. The Technology Fee is payable in a lump sum and is uniformly imposed. Franchisees must pay a reduced Technology Fee of $250 per month upon the commencement of the Pre-Sales Phase. Bft estimates that the payment of Technology Fees for five months prior to the Studio's Soft Opening will be $1,250. After the Soft Opening, the Technology Fee increases to $715 per month.
This non-refundable policy means that once a Bft franchisee pays the Technology Fee, they cannot get a refund, regardless of any unforeseen circumstances. This is a standard practice in franchising, as many initial and ongoing fees are deemed earned upon payment to cover the franchisor's costs and support services.
Prospective Bft franchisees should carefully consider this non-refundable aspect of the Technology Fee, especially the initial $1,250 payment during the Pre-Sales Phase, as part of their overall investment decision. Understanding the terms and conditions of all fees is crucial before entering into a franchise agreement.