When is the Closet Storage Concepts management fee payable?
Closet_Storage_Concepts Franchise · 2025 FDDAnswer from 2025 FDD Document
----------------------------------------| | Management Fee | Our then- current fee (currently $500 per day per person plus expenses if we have to temporarily manage your store.) | At time of provision of such services. | If for any reason we deem it necessary t
Source: Item 6 — OTHER FEES (FDD pages 13–18)
What This Means (2025 FDD)
According to Closet Storage Concepts's 2025 Franchise Disclosure Document, the management fee is payable "at the time of provision of such services." This fee is incurred if Closet Storage Concepts deems it necessary to manage the franchisee's store temporarily.
The management fee is Closet Storage Concepts's then-current fee, which is currently $500 per day per person, plus expenses. These expenses cover the costs incurred by Closet Storage Concepts for sending someone to manage the store.
This means that if Closet Storage Concepts needs to step in and manage a franchisee's store, the franchisee will be responsible for paying the management fee at the time those services are provided. This could be a significant expense, especially if the management period is extended. It is important for prospective franchisees to understand the circumstances under which Closet Storage Concepts might deem it necessary to manage their store and to factor this potential cost into their financial planning.