How must the initial franchise fee be paid to Mr. Sandless?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
YOUR ESTIMATED INITIAL INVESTMENT
| Type of expenditure | Amount | Method of Payment | When due | To Whom Payment Is To Be Made | |
|---|---|---|---|---|---|
| Initial Franchise | $15,000 | $24,000 | Lump sum | Upon execution of the Franchise Agreeme |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 13–15)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, the initial franchise fee, which ranges from $15,000 to $24,000, must be paid in a lump sum. This payment is due upon the execution of the Franchise Agreement and is to be made directly to Mr. Sandless. This means that a prospective franchisee needs to have the full amount of the initial franchise fee available at the time they sign the agreement to become a Mr. Sandless franchisee.
This lump sum payment method is a fairly standard practice in the franchise industry. It is common for franchisors to require the initial franchise fee upfront as it covers the costs associated with setting up the new franchisee, including training, providing initial materials, and granting access to the Mr. Sandless brand and system.
Prospective franchisees should be aware of this payment requirement and ensure they have the necessary funds available when they are ready to sign the Franchise Agreement. It's also important to note that, as stated in Item 7, in general, none of the expenses listed in the chart are refundable, except any security deposits you must make may be refundable. Therefore, it is crucial to conduct thorough due diligence and carefully consider the investment before committing to the Mr. Sandless franchise.