To whom is the initial franchise fee paid for an Extreme Art Studio?

Q: To whom is the initial franchise fee paid for an Extreme Art Studio?

- 1. Initial Franchise Fee . The Initial Franchise Fee is $45,000 for the purchase of a single Extreme Art Studio Business. | Type of Expenditure (1) | Amount | | Method of Payment | When Due | To Whom Payment is to be Paid(1) | |---|---|---|---|---|---| | Optional | $0 | $47,250 | Lump sum | Upon signing Franchise | Us | | Modules(15) | | | | Agreement | | Standard 2 Franchise | If you purchase a Standard 2 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $80,000 and allow you to open up to two Extreme Art Studio Businesses. Standard 3 Franchise | If you purchase a Standard 3 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $110,000 and allow you to open up to three Extreme Art Studio Businesses. Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 18–23)

Question

Accepted Answer

- 1. Initial Franchise Fee. The Initial Franchise Fee is $45,000 for the purchase of a single Extreme Art Studio Business. | Type of Expenditure (1) | Amount | | Method of Payment | When Due | To Whom Payment is to be Paid(1) | |---|---|---|---|---|---| | Optional | $0 | $47,250 | Lump sum | Upon signing Franchise | Us | | Modules(15) | | | | Agreement | | Standard 2 Franchise | If you purchase a Standard 2 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $80,000 and allow you to open up to two Extreme Art Studio Businesses. Standard 3 Franchise | If you purchase a Standard 3 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $110,000 and allow you to open up to three Extreme Art Studio Businesses. Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 18–23)

To whom is the initial franchise fee paid for an Extreme Art Studio?

Answer from 2024 FDD Document

What This Means (2024 FDD)

Type of Expenditure (1)	Amount		Method of Payment	When Due	To Whom Payment is to be Paid(1)
Optional	$0	$47,250	Lump sum	Upon signing Franchise	Us
Modules(15)				Agreement
Standard 2 Franchise	If you purchase a Standard 2 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $80,000 and allow you to open up to two Extreme Art Studio Businesses.
Standard 3 Franchise	If you purchase a Standard 3 Franchise under the Multi-Franchise Addendum, you will incur all of the costs listed above for each Extreme Art Studio Business you open except that the Initial Franchise Fee will total $110,000 and allow you to open up to three Extreme Art Studio Businesses.