Is the technology fee for a Buona franchise refundable?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall pay to Franchisor a technology fee in an amount determined by Franchisor.
Franchisor has the right to determine how and for what purposes the technology fees will be used, which may include covering Franchisor's costs or paying fees to third party providers for technology development, maintenance, and usage for the franchise system, and subscription and license fees paid by Franchisor in order for franchisees to have access to and use certain technology tools, and for related research and development conducted by Franchisor.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the document does not explicitly state whether the technology fee is refundable or non-refundable. The FDD does mention other fees that are non-refundable, such as the on-site training fee deposit of $20,000.00.
However, regarding the technology fee, the FDD states that the franchisee shall pay a technology fee in an amount determined by Buona. Buona has the right to determine how and for what purposes the technology fees will be used, which may include covering Buona's costs or paying fees to third-party providers for technology development, maintenance, and usage for the franchise system, and subscription and license fees paid by Buona in order for franchisees to have access to and use certain technology tools, and for related research and development conducted by Buona.
Because the FDD does not specify whether the technology fee is refundable, prospective franchisees should clarify this point with Buona during their due diligence. Understanding the conditions under which fees are refundable or non-refundable is crucial for making informed investment decisions.