What indices can Burneys Sweets More use to determine Inflation Adjustments?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Inflation Adjustments. Franchisor and its affiliates reserve the right to increase the amount of any fee provided for hereunder, including, without limitation, the Royalty and brand fund contribution, due Franchisor or an affiliate under this Agreement or a related agreement ("Inflation Adjustment"). An Inflation Adjustment shall be in relation to the changes in the Consumer Price Index (U.S. Average, all items) maintained by the U.S. Department of Labor, the cost-of-living-adjustment ("COLA") using the COLA factors determined by the United States Department of Labor, or such other measure determined reliable by Franchisor. Franchisor will notify Franchisee of the amount or percentage adjustment thirty (30) days' prior to their effective date.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Burneys Sweets More's 2025 Franchise Disclosure Document, Burneys Sweets More reserves the right to implement inflation adjustments on various fees, including royalty and brand fund contributions. These adjustments are tied to specific economic indices.
Burneys Sweets More may use the Consumer Price Index (U.S. Average, all items) maintained by the U.S. Department of Labor. Alternatively, Burneys Sweets More can use the cost-of-living-adjustment (COLA) factors determined by the United States Department of Labor. Finally, Burneys Sweets More can use any other measure deemed reliable by Burneys Sweets More.
Burneys Sweets More will provide a 30-day notice to franchisees before any inflation adjustments take effect, informing them of the amount or percentage of the adjustment. This allows franchisees time to prepare for the change in fees. As a prospective franchisee, it is important to understand these potential adjustments and how they might affect your operating costs and profitability.