factual

Does Hydrodog indicate that certain fees may increase over the term of the Franchise Agreement?

Hydrodog Franchise · 2025 FDD

Answer from 2025 FDD Document

Explanatory Notes

    1. All fees paid to us or our affiliates are uniform and non-refundable under any circumstances once paid. Fees paid to vendors or other suppliers may be refundable depending on the vendors and suppliers. We currently require you to pay fees and other amounts due to us or our affiliates via electronic funds transfer ("EFT") or other similar means. You are required to complete our thencurrent, EFT authorization. All fees are current as of the Issuance Date of this Franchise Disclosure Document. Certain fees that we have indicated may increase over the term of the Franchise Agreement.

Source: Item 6 — OTHER FEES (FDD pages 12–16)

What This Means (2025 FDD)

According to Hydrodog's 2025 Franchise Disclosure Document, certain fees may increase during the term of the Franchise Agreement. Specifically, the document states, "Certain fees that we have indicated may increase over the term of the Franchise Agreement." This means that franchisees should anticipate potential changes to the fees outlined in the FDD.

Several fees are subject to change or increase. The Royalty Fee may be increased annually based on changes in the Consumer Price Index for All Urban Consumers (CPI-U). The Technology Fee of $150 per month plus $99 per month for each HydroDog Vehicle may also increase, as Hydrodog reserves the right to modify, add, or remove technology services as business needs evolve, and franchisees agree to pay any associated increased fees.

Prospective Hydrodog franchisees should carefully consider the potential impact of fee increases on their business's profitability. It is important to factor in potential CPI-U increases when projecting revenue and expenses. Franchisees should also inquire about the historical frequency and magnitude of technology fee adjustments to better understand the potential financial implications.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.