Is the initial franchise fee refundable under any circumstances for an Eos Worldwide franchise?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
distribute through Alternative Channels of Distribution; however, if we do, we may permit you to engage in revenue sharing for such products in which we share the revenue collected with you in a manner we determine, and as further described in the Operations Manual. Unless we provide prior permission, you may not use Alternative Channels of Distribution to make sales and you will not receive any compensation for our sales through Alternative Channels of Distribution.
4. FEES AND PAYMENT.
4.1 Initial Franchise Fee.
In consideration of the Franchise granted to you by us, you must pay us the initial franchise fee of Five Thousand Dollars ($5,000) (the "Initial Franchise Fee"). The Initial Franchise Fee is payable in cash by wire transfer or ACH upon the execution of this Agreement. The Initial Franchise Fee is deemed fully earned upon payment and is non-refundable under any circumst
Source: Item 23 — RECEIPTS (FDD pages 74–246)
What This Means (2025 FDD)
According to Eos Worldwide's 2025 Franchise Disclosure Document, the initial franchise fee is non-refundable under any circumstances. The initial franchise fee is $5,000, and it is deemed fully earned upon payment. This fee is payable in cash by wire transfer or ACH upon the execution of the Franchise Agreement.
The FDD specifies that the initial franchise fee covers expenses incurred by Eos Worldwide and its affiliates in providing assistance and services to the franchisee. These expenses include costs related to offering and selling franchises, franchise sales and marketing activities, legal compliance with franchise laws and regulations, the development and hosting of training programs, marketing expenses, and legal, accounting, and other professional fees.
This non-refundable policy is a fairly standard practice in the franchise industry. The franchisor incurs significant upfront costs in evaluating and onboarding new franchisees, and the initial fee is intended to offset these expenses. Prospective Eos Worldwide franchisees should be aware that once the fee is paid, it will not be returned, regardless of whether the franchise ever becomes operational or if the agreement is terminated.