What is the fee for failure to attend the Franchisee Convention for a Black Bear Diner franchise?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee(1) | Amount | Due Date |
|---|---|---|
| Failure to Attend Franchisee Convention | $2,500 | Same as Royalty Fee |
Source: Item 6 — OTHER FEES (FDD pages 14–18)
What This Means (2025 FDD)
According to Black Bear Diner's 2025 Franchise Disclosure Document, franchisees who fail to attend the Franchisee Convention will incur a fee of $2,500. This fee is due at the same time the Royalty Fee is due. The Royalty Fee is 4.5% of Gross Sales and is paid weekly. Therefore, the $2,500 penalty for not attending the convention is also due weekly.
Franchisee conventions are valuable opportunities for networking, training, and updates from the franchisor. The $2,500 fee incentivizes attendance, ensuring franchisees stay informed and connected. This is a fairly standard practice in franchising, as franchisors want to ensure consistent brand standards and operational practices across all locations.
Prospective franchisees should consider this mandatory fee as part of their ongoing operational costs. It is important to factor in the cost of attending the convention, including travel and accommodation, in addition to the penalty for non-attendance, to make an informed decision about the franchise investment.