Is the initial franchise fee for a Face Foundrie franchise refundable?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 5: INITIAL FEES]
ITEM 5. INITIAL FEES
Initial Franchise Fee
When you sign the Franchise Agreement you must pay us an initial franchise fee of $50,000 ("Initial Franchise Fee"). The Initial Franchise Fee is due in full when you sign the Franchise Agreement and is non-refundable. Other than as outlined in this Disclosure Document, we have no intention, now or in the future, of reducing the Initial Franchise Fee for any prospective franchisees, although we reserve the right to do so in our sole discretion on a case-by-case basis.
We offer a reduced initial franchise fee to existing franchisees of ours that are open, operating, and in good standing (i.e., not subject to any uncured default notice). If you meet these conditions and we approve you to operate additional Facial Bars, we will reduce the Initial Franchise Fee to $40,000. We also offer a reduced initial franchise fee of $40,000 to qualifying veterans who were honorably discharged and are purchasing a single Facial Bar.
Source: Item 5 — INITIAL FEES (FDD pages 13–15)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the initial franchise fee is not refundable. The standard initial franchise fee is $50,000, which must be paid when signing the Franchise Agreement. This fee is uniformly applied, although Face Foundrie retains the right to adjust it on a case-by-case basis.
There are some instances where Face Foundrie offers a reduced initial franchise fee. Existing franchisees in good standing who are approved to operate additional Facial Bars may have their initial franchise fee reduced to $40,000. Qualifying veterans who were honorably discharged and are purchasing a single Facial Bar also receive a reduced initial franchise fee of $40,000.
In addition to the initial franchise fee, Face Foundrie franchisees should be aware of other non-refundable fees, such as the Area Development Fee, Extension Fee, Accounting System Set-Up Fee, and Background Check fee. The Area Development Fee is equal to $40,000 multiplied by the number of Facial Bars you agree to open under the Area Development Agreement. The Extension Fee is either $2,500 or $1,500 depending on whether you want to retain any protected territory. The Accounting System Set-Up Fee is $500. The Background Check fee ranges from $200 to $300 for each owner.