What is the fee for the second extension of the Development Schedule for a Floyds 99 development agreement?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
e periods mandated by the Development Schedule. Developer's failure to adhere to the Development Schedule (including any extensions approved by Franchisor in writing) will constitute a material breach of this Agreement.
- 5.2 Effect of Failure. Strict compliance with the Development Schedule is of the essence. If Developer fails to construct and open any FLOYD'S 99 Shop o
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, a developer who fails to meet the development schedule can request up to two extensions, each lasting six months. The first extension is provided at no charge. However, if a second extension is granted, the developer must pay a non-refundable $5,000 extension fee.
This policy incentivizes developers to adhere to the initial development schedule. The initial free extension provides some flexibility, but the $5,000 fee for a second extension underscores the importance of meeting deadlines. This fee is non-refundable, meaning that even if the developer ultimately fails to meet the extended deadline, the $5,000 will not be returned.
It's important to note that any extensions are subject to Floyds 99's extension policy, which may change and could require the developer to pay additional fees. This means that the $5,000 fee is not necessarily the only cost associated with an extension, and prospective developers should stay informed about the most current policies.
For a prospective Floyds 99 developer, this means carefully planning the development schedule and allocating sufficient resources to meet the deadlines. Failing to do so could result in additional costs and potential complications with the development agreement.