Are the fees imposed by C12 Group refundable?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless otherwise noted, all fees are imposed by us, are payable to us, are non-refundable and subject to change. C12 does not provide any financing for any of the fees referenced in the immediately preceding table. In addition to the assumptions and descriptions contained in the footnotes to the immediately preceding table, C12 has estimated the fees in the table on the basis of its prior operation, since 1992, of businesses the same as or substantially similar to the business to be operated by the franchisee along with experience of actual franchisees.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 17–18)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the fees imposed by C12 Group are generally non-refundable. The FDD explicitly states that unless otherwise noted, all fees are imposed by C12 Group, are payable to them, and are non-refundable. This is a standard practice in franchising, as initial fees are typically used to cover the franchisor's costs of setting up the franchisee and providing initial training and support.
This non-refundable policy means that a prospective C12 Group franchisee should carefully consider their decision before paying any fees. If the franchisee decides not to proceed with the franchise after paying the initial fees, they will not be able to recover those costs. This underscores the importance of thorough due diligence, including reviewing the FDD, speaking with existing franchisees, and carefully evaluating the potential risks and rewards of investing in a C12 Group franchise.
While the FDD specifies that fees are generally non-refundable, it also includes the caveat "unless otherwise noted." This suggests that there might be specific circumstances under which a refund could be possible, although the document does not detail these situations. A prospective franchisee should clarify with C12 Group what, if any, fees are refundable and under what conditions.