What is the condition regarding the refundability of the Bigfoot Forestry development fee?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
nage at least one (1) but not more than three (3) of your Bigfoot Forestry Businesses. The Managing Owner, and each Project Manager, can manage a maximum of three (3) Bigfoot Forestry Businesses. You must hire an additional Project Manager for every three (3) additional Bigfoot Forestry Businesses you open. Each Project Manager you hire must meet all criteria and conditions set forth in the most recent Franchise Agreement executed by you.
- 5. DEVELOPMENT FEE. At the time you sign this Agreement you must pay us a development fee in the amount set forth in Part B of ATTACHMENT "A", which is calculated as the aggregate sum of the initial franchise fees imposed for all Bigfoot Forestry Businesses you are required to develop pursuant to this Agreement.
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to the 2025 Bigfoot Forestry Franchise Disclosure Document, the development fee is nonrefundable. Specifically, upon signing the Development Agreement, the development fee becomes fully earned by Bigfoot Forestry and is not subject to refund. This fee is calculated as the total of all initial franchise fees for each Bigfoot Forestry business the developer is obligated to open under the agreement.
This nonrefundable policy means that a prospective Bigfoot Forestry developer should carefully consider their commitment and financial capacity before signing the agreement. Once the agreement is executed and the development fee is paid, there is no provision for a refund, even if the developer is unable to fulfill their development obligations. This is a standard practice in franchising, as the franchisor incurs costs and sets aside resources based on the developer's commitment to open multiple units.
Furthermore, if the Development Agreement is terminated, Bigfoot Forestry will not refund any portion of the development fee. This applies regardless of whether the termination is initiated by Bigfoot Forestry due to the developer's default or by mutual agreement between both parties. Therefore, prospective developers should conduct thorough due diligence and assess their ability to meet the development schedule and other obligations outlined in the agreement before proceeding.