For Dryject franchises in Maryland, what is the condition for deferring initial fees and payments?

According to Dryject's 2025 Franchise Disclosure Document, franchisees in Maryland have specific conditions for deferring initial fees and payments. Due to Dryject's financial condition, the Maryland Securities Commissioner requires a financial assurance. As a result, all initial fees and payments owed by Dryject franchisees in Maryland are deferred. This deferral lasts until Dryject completes its pre-opening obligations under the franchise agreement.

This condition means that a new Dryject franchisee in Maryland will not have to pay the initial franchise fee upfront. Instead, the payment is delayed until Dryject fulfills its responsibilities in preparing the franchisee to open for business. These pre-opening obligations typically include site selection assistance, training, and providing the necessary manuals and resources.

This deferral of fees is a significant benefit for franchisees as it reduces the initial financial burden. It also provides some assurance that Dryject is committed to fulfilling its pre-opening obligations before receiving the franchise fee. However, it is important for prospective franchisees to understand exactly what constitutes Dryject's "pre-opening obligations" as defined in the franchise agreement to ensure both parties are aligned on the conditions for payment.