When is the initial franchise fee due for an Itan franchise?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
ase of area development rights for 3 to 5 Salons.
| TYPE OF EXPENDITURE 1 | AMOUNT | METHOD OF | WHEN DUE | TO WHOM PAYMENT IS TO BE MADE |
|---|---|---|---|---|
| PAYMENT | ||||
| Development Fee 18 | $129,500 to |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 15–18)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the initial franchise fee of $49,500 is due at the time you sign the Franchise Agreement. This fee is a lump sum payment made directly to Itan.
This upfront fee is a standard practice in franchising and covers Itan's initial costs in granting the franchise, including training and support. It's important to note that this fee is non-refundable, as stated in Item 7, Note 1, meaning that once the Franchise Agreement is signed, the $49,500 is not returned to the franchisee under any circumstances.
Prospective Itan franchisees should factor this non-refundable fee into their initial investment calculations and ensure they have secured sufficient funding before signing the Franchise Agreement. Additionally, the FDD notes that the $49,500 fee assumes you do not qualify for the Veterans Discount, Conversion Discount, or Multi-Unit Discount, so franchisees should confirm their eligibility for any of these discounts with Itan.