factual

What is the hourly rate for the Non-Performance Fee charged to a Buildingstars franchisee?

Buildingstars Franchise · 2025 FDD

Answer from 2025 FDD Document

ustomer complaint in which BUILDINGSTARS intervenes to resolve. If BUILDINGSTARS receives a bona fide complaint from a Customer, BUILDINGSTARS will first offer FRANCHISEE an opportunity to remedy the Customer's complaint. If FRANCHISEE remedies the complaint within a twenty-four (24) hour period after BUILDINGSTARS is notified of the Customer's complaint, BUILDINGSTARS will not charge FRANCHISEE a Non-Performance Fee. However, if after the twenty-four (24)

Source: Item 22 — CONTRACTS (FDD page 43)

What This Means (2025 FDD)

According to Buildingstars's 2025 Franchise Disclosure Document, a Non-Performance Fee of $25 per hour per person may be charged to a franchisee if Buildingstars intervenes to resolve a customer complaint due to the franchisee not meeting Buildingstars' standards.

Buildingstars will first offer the franchisee an opportunity to remedy the customer's complaint within a 24-hour period. If the franchisee successfully addresses the complaint within this timeframe, Buildingstars will not charge the Non-Performance Fee. However, if the complaint remains unresolved after the 24-hour period, Buildingstars has the right, but not the obligation, to step in and resolve the issue themselves.

In addition to the hourly rate, Buildingstars may also charge the franchisee for any actual out-of-pocket expenses incurred while resolving the complaint. Buildingstars will then withhold the Non-Performance Fee and any associated expenses from the billings it collects on behalf of the franchisee. This fee structure is designed to encourage Buildingstars franchisees to maintain high service standards and promptly address customer concerns.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.