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In Minnesota, when is the initial franchise fee due for a Caring Senior Service franchise?

Caring_Senior_Service Franchise · 2025 FDD

Answer from 2025 FDD Document

The State of Minnesota has imposed a financial condition under which the initial fee due under your Franchise Agreement and the Development Fee due under your Development Addendum, if applicable, will be deferred until the first franchise location is open for business.

Source: Item 23 — RECEIPTS (FDD pages 53–204)

What This Means (2025 FDD)

According to the 2025 Caring Senior Service Franchise Disclosure Document, Minnesota imposes a financial condition regarding the initial franchise fee. Specifically, the initial franchise fee and any development fees are deferred until the first Caring Senior Service franchise location is open for business.

This means that in Minnesota, a new Caring Senior Service franchisee does not have to pay the initial franchise fee of $49,000 upon signing the Franchise Agreement. Instead, this payment is delayed until the franchise location is operational. This arrangement can significantly reduce the upfront financial burden on franchisees in Minnesota, allowing them to allocate their initial capital towards setting up the business.

This type of financial condition is designed to protect franchisees by ensuring that they only pay the initial fee once they are actually in a position to start generating revenue. It also aligns the franchisor's interests with the franchisee's success, as the franchisor only receives the fee when the business is up and running. Prospective franchisees in Minnesota should confirm all details of this deferral with Caring Senior Service to fully understand the terms and conditions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.