Are any of the fees paid to Bor Restoration before opening refundable?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
- ii. purchase the BOR Software Suite by paying the BOR Software Suite Initial License Fee; and,
- iii. pay the Technology Startup Fee.
- c. There are no refunds for any of these fees.
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, certain fees paid to Bor Restoration before opening are non-refundable. Specifically, the document states that the BOR Software Suite Initial License Fee and the Technology Startup Fee are non-refundable.
This means that a prospective Bor Restoration franchisee should consider these fees as sunk costs once paid. These fees are associated with setting up the franchisee with the necessary software and technology to begin operations.
Franchisees should carefully evaluate their financial situation and business plan before committing to these non-refundable fees, as they will not be returned even if the franchise agreement is terminated or the business does not open. This is a fairly standard practice in franchising, as these initial fees often cover the franchisor's upfront costs in setting up a new franchisee.