What are all the fees that Epcon Communities charges, as detailed in Items 5 and 6, and when are they due?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
You must pay Epcon Marketing an Initial Marketing Program Membership Fee ("Initial Marketing Program Membership Fee") of $5,000 for each of your projects. (Franchise Agreement, Section 7.4). Additional details on the Initial Marketing Program Membership Fee may be found in Item 5 and Item 7.
You must pay Epcon Marketing a Marketing Program Fee ("Marketing Program Fee") of $625 per month for each of your projects. (Franchise Agreement, Section 7.4). Additional details on the Marketing Program Fee may be found in Item 6.
The first Marketing Program Fee payment is due on the 15th day of each month beginning the earlier of (a) the 18th month after the month in which the Franchise Agreement was signed by you and us, or (b) the month immediately after the month in which you request that we include your Epcon community on our web site, or (c) the fifteenth day of the month immediately following the month of your first closing on a sale of a Unit within your Project Your obligation to pay the Market Program Fee continues until the last Unit in your project is sold. We have the right to withdraw the Marketing Program Fee by EFT.
Note 4: Market Hold Fee: If you are a franchisee in good standing and ask us to reserve or "hold" a new market area for you, and we approve that request, you must sign a Market Hold Agreement (see Exhibit G to this disclosure document) and pay us a market hold fee for each market area that you reserve. You may enter into no more than one Market Hold Agreement for each of your active Market Area Agreements under which a project is currently under development. If you enter into a Franchise Agreement and Market Area Agreement with us for the reserved market area before the expiration of the Market Hold Agreement your Market Hold Fee will be applied toward the fees that you owe us under that Franchise Agreement.
You must pay to us or to an entity designated by us to operate a franchise system level marketing program, an initial marketing program membership fee in the amount of $5,000. The Initial Marketing Program Membership Fee is due at the time of signing of the Franchise Agreement. This fee is for your access to our web-based resources related to the Development System and the marketing assets that have been created for use across the franchise system through an intranet web site maintained by us or our designee.
In the event that Epcon Communities must hold initial training sessions for the benefit of Assignee, or Assignee's agents and employees, Assignee agrees to pay to Epcon Communities a reasonable tuition fee for each attendee attending such training.
What This Means (2025 FDD)
According to Epcon Communities' 2025 Franchise Disclosure Document, franchisees are subject to several fees, including an Initial Marketing Program Membership Fee and a Marketing Program Fee. The Initial Marketing Program Membership Fee is $5,000 for each project, payable upon signing the Franchise Agreement. This fee grants access to web-based resources and marketing assets. The Marketing Program Fee is $625 per month for each project.
The Marketing Program Fee payments begin on the 15th day of the earlier of (a) the 18th month after signing the Franchise Agreement, (b) the month after requesting inclusion of the Epcon community on their website, or (c) the fifteenth day of the month immediately following the first closing on a unit sale within the project. This obligation continues until the last unit in the project is sold, and Epcon Communities has the right to withdraw this fee via EFT (electronic funds transfer).
Additionally, if an Epcon Communities franchisee in good standing requests to reserve a new market area and it is approved, they must sign a Market Hold Agreement and pay a market hold fee for each market area reserved. Franchisees can have no more than one Market Hold Agreement for each active Market Area Agreement under which a project is currently under development. If the franchisee enters into a Franchise Agreement and Market Area Agreement for the reserved market area before the Market Hold Agreement expires, the Market Hold Fee will be applied toward the fees owed under that Franchise Agreement.
Finally, if Epcon Communities must hold initial training sessions for the benefit of an assignee, or the assignee's agents and employees, the assignee agrees to pay a reasonable tuition fee for each attendee attending such training.