What is the nature of the Deer Solution Technology Fee, and is it refundable?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees that Franchisor, in Franchisor's Reasonable Business Judgment and sole discretion, may implement and require that Franchisee, at Franchisee's cost and expense, participate in utilizing the Sales and Support Center and Sales and Support Center Services designated by Franchisor and as may be modified by Franchisor from time to time. Franchisee agrees that a core and critical component to all Deer Solution Businesses and Franchisee's Deer Solution Business relates to and includes communications with customers and prospective customers, the scheduling and rescheduling of estimate appointments, the scheduling and rescheduling of service visits, responding to customer complaints and other customer communications. Franchisee agrees that Franchisee shall exclusively adopt and utilize only those Sales and Support Centers designated and approved by Franchisor and that Franchisee shall exclusively adopt and utilize only those Sales and Support Center Services designated by Franchisor of which Franchisor may be the sole and exclusive supplier. Franchisee shall pay for all costs and expenses charged to Franchisee for Sales and Support Center Services. Fees for Sales and Support Center Services shall, in Franchisor's Reasonable Business Judgment, be exclusively determined by Franchisor from time to time and may include fixed general overhead fees and variable fees related to contacts involving or potentially involving the Franchised Business including, but not limited to, an initial prospect fee related to a prospect that contacts a Sales and Support Center, estimate scheduling and rescheduling, service visit scheduling and rescheduling, and escalation fees responding to customer complaints and supplemental inquiries. The variable Sales and Support Center Fees shall not exceed 8.5% of weekly Gross Sales, provided that Franchisor reserves the right to charge per communication fees that will be charged each and every time a communication occurs so long as such fees do not exceed 8.5% of Franchisee's Gross Sales in any weekly Accounting Period. Franchisee's participation and use of the Sales and Support Center is mandatory, and Franchisee's payment of Sales and Support Center Fees is mandatory.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
Based on the 2025 Deer Solution Franchise Disclosure Document, there is no mention of a specific "Technology Fee." However, the document does refer to fees related to the Sales and Support Center Services. Franchisees are required to participate in and utilize the Sales and Support Center, incurring costs and expenses for these services. These fees are determined by Deer Solution and may include fixed overhead and variable fees related to customer contacts, such as initial prospect fees, estimate scheduling, service visit scheduling, and escalation fees for customer complaints. These variable Sales and Support Center Fees shall not exceed 8.5% of weekly Gross Sales.
Deer Solution determines the services included in the Sales and Support Center Services and what activities may be delegated to franchisees. The FDD states that franchisees must pay Sales and Support Center Fees, and participation in the Sales and Support Center is mandatory.
The provided excerpts do not specify whether the Sales and Support Center Fees or any other fees are refundable. A prospective franchisee should seek clarification from Deer Solution regarding the refundability of these fees and under what conditions, if any, a refund may be issued.