When is the Multi-Unit Extension Fee due to Cinch I.T.?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
| TYPE OF FEE1 | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Multi-Unit Extension Fee – Development Agreement | $5,000 per extension | As incurred | Payable if Multi-Unit Developer desires to extend a Development Period. |
Source: Item 6 — OTHER FEES (FDD pages 14–20)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, a Multi-Unit Extension Fee is required if a Multi-Unit Developer wants to extend their Development Period. This fee amounts to $5,000 per extension.
The FDD specifies that the Multi-Unit Extension Fee is due 'as incurred.' This means the fee is payable at the time the Multi-Unit Developer requests and is granted an extension to their development period.
For a prospective Cinch I.T. multi-unit franchisee, this means that if they need more time to develop their agreed-upon number of franchise locations, they will need to pay $5,000 for each extension they request. This is an important consideration for managing development timelines and associated costs.