Is the Healthsource Chiropractic Development Fee refundable under any circumstances?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
sory council any operational or decision-making powers that we deem appropriate. We, or one of more of our affiliated companies or persons, may also offer separate, optional, advisory councils or groups that may have additional costs to you should you decide to participate.
6. FEES.
6.1 Initial Franchise Fee; Reference to Exhibit 1. You agree to pay us the initial franchise fee (the "Initial Franchise Fee") set forth below when you sign this Agreement. In recognition of the expenses we incur in furnishing assistance and services to you, you agree that
we will have fully earned the Initial Franchise Fee, and that is due and non-refundable when you sign this Agreement.
- a. If the Franchise you are purchasing is a Start-up Clinic, then your Initial Franchise Fee is $60,000.00. Notwithstanding the previous sentence, if Exhibit 1 states that you are signing this Agreement pursuant to your purchase of a development agreement, then your Development Fee paid pursuant thereto shall be in full satisfaction of this Agreement.
- b. If the Franchise you are purchasing is a Conversion Clinic, then your Initial Franchise Fee is $60,000.00. Notwithstanding the previous sentence, if Exhibit 1 states tha
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, the initial franchise fee is generally non-refundable. Specifically, Healthsource Chiropractic states that in recognition of the expenses they incur in furnishing assistance and services to the franchisee, the initial franchise fee is fully earned and due when the Franchise Agreement is signed, and is non-refundable.
For a Start-up or Conversion Clinic, the initial franchise fee is $60,000. However, if the franchisee is signing the agreement pursuant to purchasing a development agreement, the Development Fee paid satisfies the Initial Franchise Fee. Any deposits previously paid by the franchisee will be credited against the Initial Franchise Fee due under the agreement.
Because the excerpt specifies that the Initial Franchise Fee is non-refundable, but does not specify whether the Development Fee is refundable, it is important that a prospective franchisee ask Healthsource Chiropractic about the specific terms and conditions related to the Development Fee, including under what circumstances, if any, it may be refundable. This information is crucial for understanding the financial commitment and risks associated with purchasing a Healthsource Chiropractic franchise or development agreement.