Under what condition will Buona refund 10% of the initial franchise fee?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
The Initial Franchise Fee is non-refundable with one exception. If we terminate your Franchise Agreement for your failure to successfully complete the initial training program, we will refund you 10% of the initial franchise fee paid once you have signed and delivered to us a termination agreement and general release of all claims in a form satisfactory to us.
Source: Item 5 — INITIAL FRANCHISE FEE (FDD pages 14–15)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the initial franchise fee is generally non-refundable. However, Buona will refund 10% of the initial franchise fee under a specific condition.
The 2025 FDD states that if Buona terminates the Franchise Agreement because the franchisee fails to successfully complete the initial training program, a partial refund will be issued. This refund amounts to 10% of the initial franchise fee, which is $40,000.00. Therefore, the refund would be $4,000.
To receive this refund, the franchisee must sign and deliver a termination agreement and a general release of all claims in a form satisfactory to Buona. This implies that the franchisee must waive any rights to sue or make further claims against Buona to receive the $4,000 refund.