When is insurance due for a Burneys Sweets More franchise?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF EXPENDITURE | AMOUNT | METHOD OF PAYMENT | WHEN DUE | TO WHOM PAYMENT IS MADE | |
|---|---|---|---|---|---|
| LOW | HIGH | ||||
| PRE-OPENING COSTS1 | |||||
| Initial Franchise Fee | $20,000 | $20,000 | Lump sum | Due on signing Franchise Agreement | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 17–20)
What This Means (2025 FDD)
According to Burneys Sweets More's 2025 Franchise Disclosure Document, insurance payments are due "as incurred" and the specific timing "varies depending on contract with supplier." This means that franchisees will need to pay for insurance as they use it, but the exact payment schedule will depend on the agreement they have with their insurance provider.
The FDD estimates the cost of insurance to range from $3,300 to $5,500. This is an annual premium, according to Note 8. The payments are made to an approved supplier.
Prospective franchisees should carefully review the terms of their insurance contracts to understand when payments are due and what payment methods are accepted. It is also important to factor these insurance costs into their overall budget and cash flow projections.