When is the Development Fee for a Dog Haus Area Developer Agreement due, and how must it be paid?

According to Dog Haus's 2025 Franchise Disclosure Document, the Development Fee is due on the Effective Date of the Area Developer Agreement. The Area Developer must remit payment via wire transfer of immediately available funds to a bank account designated by Dog Haus. Dog Haus considers the Development Fee fully earned upon payment, and it is nonrefundable under any circumstances.

This means that a prospective Area Developer must be prepared to pay the Development Fee in full as soon as the agreement is effective. Since the fee is nonrefundable, the Area Developer bears the risk if the agreement is terminated or if they are unable to open the agreed-upon number of Dog Haus restaurants. This is a standard practice in franchising, as the initial fee compensates the franchisor for granting the rights and providing initial services.

Area Developers should ensure they have sufficient capital available to cover this upfront cost and carefully consider the terms of the agreement before signing, as the Development Fee is non-refundable. They should also confirm the exact wire transfer details with Dog Haus to ensure the payment is processed correctly and promptly.