When is the initial franchise fee for Coffee News due?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 5**
INITIAL FRANCHISE FEE
You must pay an initial franchise fee of $9,900.00 for the first franchise that is due upon signing the initial franchise agreement, $500.00 of which must be paid to us for document preparation including without limitation draft of the franchise agreement. The $500.00 shall be deducted from $9,900.00 upon signing the initial franchise agreement. For this, you will receive weekly copy within 14 days of signing the agreement with additional copy mailed in 8-week increments (no later than 5 business days prior to the end of the following 8-week period) which effectively represents reimbursement for weekly copy during the initial 3-month period of the agreement. Agreements may include up to the maximum 20 franchises permitted per publisher. A fee of $7,000.00 for each additional franchise is due at the time of signing the agreement for additional franchise(s). Upon our sole discretion, we may offer short term sales promotions to existing Publishers who wish to purchase additional franchise unit(s) from time to time. In the event that you notify us that you wish to revise the start date of business and postpone it by one month or more subsequent to your receipt of the initially executed franchise agreement, you need to pay for additional $1,000.00 to us to obtain such extension and hold your proposed licensed area for such one or more months before you pay the full amount due under the agreement. All fees are non-refundable.
In addition to the above initial fees applicable to the hard copy Periodical, if you choose to add the Coffee News Online feature, a one-time enrollment fee to participate in the amount of $100.00 shall be paid upon enrollment.
There are no other initial fees or payments required for services or goods before the date of the agreement. The date of the agreement is considered your date of opening your franchise business. Three months after your opening you will pay a required weekly fee for the continued receipt of copy or content for your periodical. The weekly fee is more fully explained in Item 6.
Initial fees and payments will be due in full upon our comple
Source: Item 5 — Initial Fees (FDD page 10)
What This Means (2025 FDD)
According to Coffee News's 2025 Franchise Disclosure Document, the initial franchise fee of $9,900.00 for the first franchise is due upon signing the initial franchise agreement. A portion of this fee, specifically $500.00, is allocated for document preparation, including drafting the franchise agreement, and is payable at the time of signing. This $500.00 is then deducted from the total $9,900.00 initial franchise fee.
For each additional franchise, a fee of $7,000.00 is due at the time of signing the agreement for those additional franchises. Coffee News may offer short-term sales promotions to existing publishers who want to purchase additional franchise units. If a franchisee wishes to postpone the business start date by one month or more after receiving the initially executed franchise agreement, an additional fee of $1,000.00 is required to obtain the extension and hold the licensed area. All fees paid to Coffee News are non-refundable.
If a franchisee chooses to add the Coffee News Online feature, a one-time enrollment fee of $100.00 is due upon enrollment. The FDD states that there are no other initial fees or payments required for services or goods before the date of the agreement, and the date of the agreement is considered the date of opening the franchise business. However, initial fees and payments are due in full upon Coffee News's completion of all pre-opening obligations.