When is the Bor Restoration Successor Franchise Fee payable?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Successor Franchise | 50% of the then-current IFF. | At the time of signing the new Franchise Agreement. | Payable to us if you are awarded Successor Franchise Rights at the end of the then-current term (Item 17(a) and (b)). You may be required to sign a Franchise Agreement with different terms from those found in your current Franchise Agreement. If we are not offering franchises at that time, the Successor Franchise Fee will be 50% of the IFF you paid. |
| Fee |
Source: Item 6 — Other Fees (FDD pages 10–15)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the Successor Franchise Fee is payable at the time of signing the new Franchise Agreement. This fee is applicable if a franchisee is awarded Successor Franchise Rights at the end of their current franchise term, as detailed in Item 17(a) and (b) of the FDD.
The Successor Franchise Fee is 50% of the then-current Initial Franchise Fee (IFF). However, if Bor Restoration is not offering franchises at the time the successor agreement is signed, the fee will be 50% of the IFF the franchisee originally paid.
It's important to note that when renewing the franchise agreement, Bor Restoration may require the franchisee to sign a new Franchise Agreement that contains different terms and conditions than the original agreement. This could impact the franchisee's obligations and the overall operation of the Bor Restoration business.