When is the Private Offering Fee due to Dog Haus?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
| Name Of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Franchise Agreement in your Lease, nor | |||
| obtain your Landlord's execution of the | |||
| Option to Obtain Lease Assignment, then | |||
| you must pay us the sum of $10,000 as | |||
| damages. | |||
| Lease Negotiation Fee | $1,500 | On demand | If you request our consent for you to |
| execute a Lease containing modified | |||
| versions of the provisions in Section 5.2 of | |||
| the Franchise Agreement, or to execute a | |||
| modified version of the Option to Obtain | |||
| Lease | |||
| Assignment, | |||
| then | |||
| you | |||
| must | |||
| reimburse us upon demand for our | |||
| reasonable attorneys' fees incurred to | |||
| review, | |||
| revise | |||
| and/or | |||
| negotiate | |||
| any | |||
| changes made to those provisions and/or | |||
| to | |||
| the | |||
| Option | |||
| to | |||
| Obtain | |||
| Lease | |||
| Assignment. | |||
| Private Offering Fee (Franchise Agreement and Area Development Agreement) | $10,000 or such greater amount as is necessary to reimburse us for our reasonable costs and expenses with reviewing the proposed offering. | Before offering. | Payable for each proposed private offering of securities, partnership or other ownership interests in Franch |
Source: Item 6 — OTHER FEES 1 (FDD pages 15–22)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, the Private Offering Fee is due before offering. This fee applies to each proposed private offering of securities, partnership, or other ownership interests in the franchisee. The fee is $10,000, but may be a greater amount if necessary to reimburse Dog Haus for their reasonable costs and expenses with reviewing the proposed offering.
This fee is in addition to any Transfer Fee under any Franchise Agreement and/or Area Development Agreement. This means that if a franchisee plans to raise capital through a private offering, they must budget for this fee in advance.
Franchisees should carefully consider the implications of this fee when planning their financing strategy. It is important to factor in the potential for the fee to exceed $10,000 if Dog Haus incurs significant costs in reviewing the offering. Understanding the timing and potential amount of this fee is crucial for managing the financial aspects of the franchise.