Under what condition is the entire Caring Transitions franchise fee nonrefundable?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
mpany derives its revenues primarily from the sale of franchises and related royalty and technology fee income. The Company charges a franchise fee of $48,900 ($44,900 prior to April 2024). The Company requires a $5,000 nonrefundable deposit, and the balance of the franchise fee must be paid in full prior to commencement of the training progra
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, the entire franchise fee becomes nonrefundable once the franchisee begins the upfront training program. The initial franchise fee is $48,900 (or $44,900 if the agreement was signed prior to April 2024).
For a prospective Caring Transitions franchisee, this means that after paying the balance of the franchise fee (after the initial $5,000 nonrefundable deposit) and starting the training program, they will not be able to get any of it back, even if they change their mind or are unable to proceed with opening their franchise.
This is a common practice in franchising, as the franchisor incurs costs in providing training and support from the moment the franchisee starts the program. It is important for prospective franchisees to be certain about their decision before commencing training, as they will forfeit the entire franchise fee if they do not continue with the franchise.