Is the Face Foundrie extension fee refundable or credited against other obligations?

According to Face Foundrie's 2025 Franchise Disclosure Document, the extension fee is not refundable and will not be credited against any other obligations a franchisee may have to Face Foundrie.

If a Face Foundrie franchisee needs more than the initial 10 months to open their Facial Bar, they can request a six-month extension. This extension requires Face Foundrie's approval and payment of an extension fee. The fee amount varies: $2,500 if the franchisee wants to retain their protected territory, or $1,500 if they release the protected territory and seek a location in an area "to be determined."

It's important to note that even if the franchisee pays the extension fee, Face Foundrie is not obligated to grant the extension and may impose other requirements as a condition of approval. Furthermore, after 16 months from signing the Franchise Agreement, the franchisee must begin paying the Minimum Royalty Fee, regardless of whether the Facial Bar is open. If the Facial Bar is not open after 16 months, Face Foundrie may declare the Franchise Agreement in default and potentially terminate it, even if the franchisee has been paying Minimum Royalty Fees.

This non-refundable policy is fairly standard in franchising, as the fee is intended to cover Face Foundrie's administrative costs and lost opportunity during the extension period. Prospective franchisees should carefully consider their timeline for opening and factor in potential delays to avoid incurring this additional, non-refundable expense.