When is the $600 fee plus out-of-pocket costs due to Bombs Away?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Currently $600, plus | On demand | Payable only if we conduct an in-person | |
| our out-of-pocket | evaluation of your business because of a | ||
| costs | governmental report, customer complaint | ||
| or other customer feedback, or your | |||
| default or non-compliance with any | |||
| system specification. | |||
| We may cure your non-compliance on | |||
| your behalf (for example, if you do not | |||
| have required insurance, we may purchase | |||
| insurance for you), and you will owe our | |||
| costs plus a 10% administrative fee. |
Source: Item 6 — OTHER FEES (FDD pages 9–13)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, a fee of $600 plus out-of-pocket costs is due to Bombs Away 'on demand.' This fee is payable only if Bombs Away conducts an in-person evaluation of the franchisee's business.
This evaluation may occur due to a governmental report, customer complaint or other customer feedback, or the franchisee's default or non-compliance with any system specification. This means that Bombs Away reserves the right to assess this fee if the franchisee's business operations fall short of the brand's standards or attract negative attention from external sources.
Additionally, Bombs Away may cure the franchisee's non-compliance on their behalf, such as purchasing required insurance if the franchisee fails to do so. In such cases, the franchisee will owe Bombs Away their costs plus a 10% administrative fee. This highlights the importance of adhering to Bombs Away's system specifications and maintaining compliance to avoid incurring additional fees and potential interventions from the franchisor.