What is the deadline for opening a Deka Lash studio before incurring an Opening Deadline Extension Fee?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
line or in person) are subject to change (as reflected in the Operations Manual) as deemed necessary by us. You are responsible for all costs you or your employees incur to attend such training, including training fees, travel, lodging, meals, and wages.
4.10 Opening Deadline Extension Fee. You must pay us an Opening Deadline Extension Fee of $500 for each month, or portion of month, that you are delayed in opening your studio beyond the 365 days allowed in this Agreement. We will allow you to pay an Opening Deadline Extension Fee for up to 12 months. If at any point you (a) do not pay your Opening Deadline Extension Fee, (b) stop or refute our ability to debit or ACH this transaction, (c) notify us, in writing,
that you no longer want to be charged the delayed opening fee, or (d) after a period of 12 months of paying the Opening Deadline Extension
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, franchisees have 365 days to open their studio before incurring an Opening Deadline Extension Fee. If the studio opening is delayed beyond this initial period, Deka Lash will charge a fee of $500 for each month, or portion thereof, that the opening is delayed.
This extension can be granted for up to 12 months, allowing franchisees additional time to finalize their studio setup. However, this extension comes at a cost, and franchisees should factor this potential expense into their initial budget and timeline.
It's important to note that failure to pay the Opening Deadline Extension Fee, attempting to stop or refute the payment, notifying Deka Lash in writing that you no longer want to be charged the fee, or failing to open the franchise unit after 12 months of paying the extension fee can result in the termination of the Franchise Agreement. In such cases, Deka Lash retains the entire Initial Franchise Fee and has no obligation to refund any amounts paid for products, inventory, or other expenses.