When is the 'Insurance Premium Reimbursement' fee due for a Burneys Sweets More franchise?

According to Burneys Sweets More's 2025 Franchise Disclosure Document, the Insurance Premium Reimbursement fee is due 'upon demand.' This means that if a franchisee fails to secure the required insurance coverage, Burneys Sweets More has the right to purchase the insurance on the franchisee's behalf. The franchisee is then obligated to reimburse Burneys Sweets More for the actual out-of-pocket insurance costs. The amount will vary depending on the specific insurance plan and provider selected by Burneys Sweets More.

This arrangement ensures that all Burneys Sweets More locations maintain adequate insurance coverage, protecting both the franchisee and the franchisor from potential liabilities. The 'upon demand' payment term implies that Burneys Sweets More will notify the franchisee of the amount due and the expected payment date after incurring the insurance expenses.

Prospective franchisees should factor this potential expense into their financial planning. While it's avoidable by securing the required insurance independently, it's important to understand that failure to do so will result in an immediate reimbursement obligation to Burneys Sweets More. Franchisees should clarify with Burneys Sweets More what the required insurance coverages are and what the typical costs are, to avoid unexpected demands for reimbursement.