To whom are insurance deposit payments made for a C3 Wellness Spa?
C3_Wellness_Spa Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Expenditure | Amount | When Due | To Whom Payment is Made | |
|---|---|---|---|---|
| Insurance Deposits | $164 – $689 | As arranged | As incurred | Insurers |
| (Note 10) |
Note 10: Insurance Deposits – You are required to maintain certain insurance coverage. Your actual payments for insurance and the timing of those payments will be determined based on your agreement with your insurance company and agent. This estimate is for the cost of an initial deposit to obtain the minimum required insurance and we estimate this deposit to be equal to the amount of three months of monthly insurance premium payments. We recommend that you consult with your insurance agent before signing a Franchise Agreement.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–25)
What This Means (2024 FDD)
According to C3 Wellness Spa's 2024 Franchise Disclosure Document, insurance deposits are paid to insurers. The estimated initial investment table shows that franchisees can expect to pay between $164 and $689 for insurance deposits.
Note 10 in Item 7 clarifies that franchisees are required to maintain certain insurance coverage, and the actual payments and timing will depend on the agreement with the insurance company and agent. The estimate provided covers the initial deposit to obtain the minimum required insurance, which is estimated to be equal to three months of monthly insurance premium payments.
C3 Wellness Spa recommends that prospective franchisees consult with their insurance agent before signing a Franchise Agreement to fully understand the insurance requirements and costs associated with operating a C3 Wellness Spa franchise.