What is the Coffee News franchisee obligated to pay in consideration of the franchise granted?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
must be made in the following manner:
- $ 500.00 is to be paid before draft of the Franchise agreement
- $ 9,400.00 is to be paid upon signing of the Franchise agreement
- $ 9,900.00 TOTAL
All initial fees and payments owed by franchisees shall be due in full upon our completion of all pre-opening obligations under the franchise agreement.
- 2.1.2 In addition to the publication of hardcopy format of Periodical, Franchisee shall have the option to publish the digital format of the Periodical ("Coffee News Online"). A onetime enrollment fee to participate publication of Coffee News Online, in the amount of $100.00 for Chil Consulting and $75.00 for Shadowfox Design, shall be paid upon enrollment.
- 2.1.3 Postponement Fees. In the event that Franchisee wishes to postpone the start date of Franchisee's business by one month or more, Franchisee needs to pay for additional $1,000.00 to us to obtain such extension and hold Franchisee's area for such one or more months before Franchisee pays the full amount due under the Agreement.
- 2.1.4 Weekly Fees. For the first Franchise granted to Franchisee, weekly payments of:
- 2.1.4.1 for hardcopy Periodical, $80 per week beginning upon the conclusion of the Initial Period. In the case of multiple franchises granted to Franchisee under separate licensing agreements, weekly payments of $25 per week for each additional franchise purchased, to be charged for each week beginning after the first nine (9) months of Franchisee's operation in accordance with Schedule A.
- 2.1.4.2 for Coffee News Online Basic Service (as later identify and defined in Paragraph 4.5.1), $25.00 (USD) per week.
- 2.1.4.3 for Coffee News Online Premium Service (as later identified and defined in Paragraph 4.5.2), $50.00 (USD) per week.
- 2.1.4.4 prices for all other countries in addition to the U.S. and Canada shall be based on USD conversion to the respectful local currencies.
- 2.1.5 Additi
Source: Item 23 — Receipts (FDD pages 36–118)
What This Means (2025 FDD)
According to the 2025 Coffee News FDD, franchisees have several potential payment obligations. All initial fees and payments are due upon Coffee News's completion of its pre-opening obligations. These fees include weekly fees, Coffee News Online enrollment fees, postponement fees, and fees for additional franchises.
For the first Coffee News franchise, franchisees pay $80 per week for the hardcopy periodical after the initial period. Additional franchises have a weekly fee of $25 each, starting after the first nine months of operation, according to Schedule A. Franchisees also have the option to publish a digital version of the periodical, "Coffee News Online." A one-time enrollment fee of $100.00 for Chil Consulting and $75.00 for Shadowfox Design is required upon enrollment to participate in publishing Coffee News Online. The weekly fee for Coffee News Online Basic Service is $25.00, while the Premium Service is $50.00 per week.
If a franchisee wishes to postpone their business start date by a month or more, they must pay Coffee News an additional $1,000.00 to hold their area. For any additional franchises granted under separate licensing agreements, there is a non-refundable deposit of $7,000.00, payable per Schedule A. These payments ensure the franchisee's rights and continued operation within the Coffee News system, with specific terms outlined in the franchise agreement.