Is the grand opening marketing fee for Hydrodog refundable?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
and Opening Marketing
When you sign your franchise agreement, you must pay to us a non-refundable grand opening marketing fee of $5,000 per HydroDog Vehicle you intend to operate within the Territory. We will use this grand opening marketing fee to perform your grand opening marketing. The grand opening marketing fee is uniform, due in lump sum and is fully earned and non-re
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 16–18)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, the grand opening marketing fee is not refundable. Franchisees must pay a $5,000 grand opening marketing fee for each Hydrodog Vehicle they intend to operate within their territory. This fee is due when signing the franchise agreement. Hydrodog will use this fee to perform grand opening marketing activities for the franchisee.
The FDD clearly states that this $5,000 fee is non-refundable under any circumstances once paid to Hydrodog. This means that even if the franchisee does not open for business or terminates the franchise agreement, the grand opening marketing fee will not be returned. This policy is explicitly outlined in Item 7 of the FDD, which covers the estimated initial investment for a Hydrodog franchise.
Prospective franchisees should carefully consider this non-refundable aspect of the grand opening marketing fee. It is crucial to have a solid business plan and a high level of confidence in their ability to launch and operate the Hydrodog franchise successfully before paying this fee. Franchisees should also note that the fee is 'fully earned' by Hydrodog upon payment, meaning Hydrodog is entitled to keep the funds regardless of whether the marketing services are fully utilized if the franchisee fails to launch.