When is the fee for review of offering materials due for a Caption By Hyatt franchise?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Fee for review of offering materials | $5,000 | When submitting materials for our review | Due only if you or your owners propose offering of ownership interests in you or an owner |
Source: Item 6 — Other Fees (FDD pages 20–36)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, Caption By Hyatt requires a fee for the review of offering materials. This fee, amounting to $5,000, is due when the franchisee or their owners submit materials for review. This fee is specifically applicable if the franchisee or their owners are proposing an offering of ownership interests in the franchise.
This fee covers Caption By Hyatt's costs to review the documents related to the proposed offering of ownership interests. It is important to note that this fee is separate from other fees associated with the franchise, such as the initial franchise fee, royalty fees, and other ongoing charges. The fee is non-refundable, regardless of whether the offering is ultimately approved or successful.
For a prospective Caption By Hyatt franchisee, this means that if they plan to seek outside investment or sell ownership stakes in their franchise, they should be prepared to pay this $5,000 fee at the time they submit the required materials for Caption By Hyatt's review. This fee should be factored into the overall costs associated with raising capital or restructuring ownership within the franchise. Franchisees should carefully consider the timing of this fee in relation to their financing or ownership plans.