When is the Successor Agreement Fee due for a Crawlspace Medic franchise?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
. |
| Amount | Due Date | Remarks | |
|---|---|---|---|
| Successor Fee9 Agreement | $1,500 | Upon signing a then current form franchise agreement | The Successor Agreement Fee is paid to us, over and above any Royalties, Brand Fund or any other |
Source: Item 6 — OTHER FEES (FDD pages 10–16)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, the Successor Agreement Fee is $1,500 and is due upon signing a then-current form franchise agreement. This fee is paid to Crawlspace Medic in addition to any Royalties, Brand Fund, or other fees the company is entitled to.
This means that if a franchisee qualifies for and elects to enter into a successor franchise agreement for an additional term, they must pay Crawlspace Medic $1,500 at the time of signing the new agreement. This fee covers Crawlspace Medic's administrative costs associated with renewing the franchise agreement and ensuring the franchisee's continued compliance with the franchise system.
Franchisees should be aware of this fee and factor it into their financial planning when considering whether to renew their franchise agreement. It's important to note that this fee is separate from ongoing royalties and other fees, and it is non-refundable, as stated in Item 6 of the Crawlspace Medic FDD.