How are travel and related expenses billed for Big O Tires franchisees?

According to the 2025 Big O Tires Franchise Disclosure Document, travel and related expenses tied to consulting, programming, training, implementation, installation, and/or support fees are billed weekly in arrears at cost. This billing structure applies to fees incurred under the agreement with the Licensor.

In practical terms, this means that if a Big O Tires franchisee receives consulting or training services that involve travel, they will be invoiced for the actual cost of those travel expenses each week after the expenses are incurred. This differs from a fixed fee or estimated expense, as the franchisee pays the precise amount spent.

This arrangement provides transparency, as the franchisee sees the direct costs. However, it also introduces some uncertainty, as the total expenses can fluctuate depending on travel arrangements and unforeseen circumstances. Franchisees should budget accordingly and request detailed breakdowns of these costs to ensure accuracy.