When is the distribution system fee due for a Bw Premier Collection franchise?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be made |
|---|---|---|---|---|
| Commission of Impact Study if Required | ||||
| Renovation Work (4) | $0 - $2,677,500 | As Agreed | As Agreed | Contractors |
| Furniture, Fixtures and | $0 - $3,415,500 | As Agreed | As Agreed | Suppliers |
| Equipment (5) | ||||
| Inventory and Operating | $72,450 - $90,300 | As Agreed | As Agreed | Suppliers |
| Equipment (6) | ||||
| Signage (7) | $315 - $525 | As Agreed | As Agreed | Suppliers |
| Distribution System | $1,150 - $8,000 | Lump Sum | As Required | Us |
| Photographs Fee (8) | ||||
| Computer System (9) | $0 - $13,100 | Cash, Check or Wire Transfer | As Required | Suppliers/Us |
| Insurance (10) | $8,750 - $13,750 | As Required | As Required | Agent/Insurer |
| Organizational Expense | $1,050 - $2,100 | As Agreed | As Agreed | Accountant/Attorney |
| (11) | ||||
| Permits and Licenses | $0 - $63,000 | As Required | As Required | Governmental |
| (12) | Agency | |||
| Miscellaneous Project | $0 - $26,250 | As Incurred | As Agreed | Suppliers |
| Management Expenses | ||||
| (13) | ||||
| Additional Funds | $500,000 - | As Incurred | As Arranged | Suppliers |
| (3 months) (14) | $545,000 | |||
| TOTAL (15) | ||||
| $612,715 - $6,888,025 |
Source: Item 7 — Estimated Initial Investment (FDD pages 26–30)
What This Means (2025 FDD)
According to the 2025 Bw Premier Collection Franchise Disclosure Document, the distribution system fee, which ranges from $1,150 to $8,000, is due 'As Required.' This means that the payment schedule for this fee is not fixed and will depend on the specific requirements set by Bw Premier Collection.
Prospective franchisees should clarify with Bw Premier Collection the specific circumstances under which the distribution system fee becomes due. Understanding the timing of this payment is crucial for managing the initial investment and cash flow during the setup phase. The 'As Required' condition suggests that there might be certain milestones or stages in the franchise process that trigger the need for this payment.
It is important for potential Bw Premier Collection franchisees to discuss with the franchisor what events or timelines determine when the distribution system fee is due. This will help in planning the initial investment and ensuring that funds are available when needed. Additionally, franchisees should confirm whether this fee is refundable under any circumstances, as the explanatory notes in the FDD state that all amounts are non-refundable unless otherwise specified.