| 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. | | | $7,500 plus any | | Payable if you sell your business. | | | broker fees and other | | | | | out-of-pocket costs | | | | | we incur | | | | | An amount equal to | | | | | royalty fees and | | | | | marketing fund | | | | | contributions for the | | | | | lesser of (i) 2 years | | | | | or (ii) the remaining | | | | | weeks of the | | | | | franchise term. | | | | | Our costs and losses | | You must indemnify and defend (with | | | from any legal | | counsel reasonably acceptable to us) us | | | action related to the | | and our affiliates against all losses in any | | | operation of your | | action by or against us related to, or | | | franchise | | alleged to arise out of, the operation of | | | | | your franchise (unless caused by our | | | | | misconduct or negligence). | | | Our attorney fees, | | In any legal proceeding (including | | | court costs, and | | arbitration), the losing party must pay the | | | other expenses of a | | prevailing party’s attorney fees, court | | | legal proceeding, if | | costs and other expenses. | | | we are the prevailing | | | | | party | | | All fees are payable only to us (other than software subscription charges). All fees are imposed by us and collected by us (other than software subscription charges). All fees are nonrefundable. All fees are uniform for all franchisees, although we reserve the right to change, waive, or eliminate fees for any one or more franchisees as we deem appropriate.

There are currently no marketing cooperatives, purchasing cooperatives, or other cooperatives that impose fees on you.

Notes

• 1. "Gross Sales" is defined in our franchise agreement as the total dollar amount of all sales generated through your business for a given period, including, but not limited to, payment for any services or products sold by you, whether for cash or credit. Gross Sales does not include (i) bona fide refunds to customers, (ii) sales taxes collected, (iii) sale of used equipment not in the ordinary course of business, or (iv) sales of prepaid cards or similar products (but the redemption of any such card or product will be included in Gross Sales).
• 1. We currently require you to pay royalty fees and other amounts due to us by preauthorized bank draft. However, we can require an alternative payment method.

Item 7 ESTIMATED INITIAL INVESTMENT

YOUR ESTIMATED INITIAL INVESTMENT

| Type of expenditure | An | ount | | Method of payment

Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 13–15)