Under what conditions might Chocolate Fish Coffee charge a fee for support?
Chocolate_Fish_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
e your sole responsibility.
- C. Improving and developing your business; resolving operating problems you encounter. If you request, we will provide advice to you (by telephone or electronic communication) regarding improving and developing your business, and resolving operating problems you encounter, to the extent we deem reasonable. If we provide in-person support in response to your request, we may charge a fee (currently $600 per day) plus any out-of-pocket expenses (such as travel, lodging, and meals for our employees providing onsite support). (Section 5.5)
- D. Establishing prices. We will provide recommended prices for products and services. (Section 5.5). We have the right to determine prices charged by our franchisees for goods and services (but only to the extent permitted by applicable law).
- E.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 20–27)
What This Means (2024 FDD)
According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, the franchisor may charge a fee for providing in-person support to franchisees. Specifically, if a franchisee requests advice regarding improving and developing their business or resolving operating problems, Chocolate Fish Coffee will provide advice via telephone or electronic communication to the extent they deem reasonable. However, if the franchisee requests in-person support, Chocolate Fish Coffee may charge a fee.
The fee for in-person support is currently $600 per day, plus reimbursement for any out-of-pocket expenses incurred by Chocolate Fish Coffee employees providing the support. These expenses include travel, lodging, and meals. This means that franchisees need to consider these potential costs when requesting on-site assistance from the franchisor.
In addition, if a Chocolate Fish Coffee franchisee needs to send a new general manager to the initial training program, there is a fee of $350 per day. This is separate from the in-person support fee described above. The FDD states that up to 2 people can attend the initial training program without a fee, but the franchisee must pay for travel and living expenses. The franchisee must also attend training and complete it to Chocolate Fish Coffee's satisfaction at least four weeks before opening their business.