What must a prospective Mr. Sandless franchisee in North Dakota execute before beginning training?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
In the State of North Dakota only, we will defer the payment of the initial franchise fee,, multiunit option fee, and any other initial payment until all of our material pre-opening obligations have been satisfied and until you open your business and it is operating.
However, you must execute the Franchise Agreement prior to looking for a site or beginning training.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 30–34)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, a prospective franchisee in North Dakota must execute the Franchise Agreement before beginning training. However, Mr. Sandless will defer the payment of the initial franchise fee, multiunit option fee, and any other initial payment until all of their material pre-opening obligations have been satisfied and until the franchisee opens their business and it is operating.
This deferred payment structure is a significant benefit for franchisees in North Dakota, as it reduces the upfront financial burden. Typically, franchisees are required to pay the initial franchise fee before receiving training or opening their business. This deferred payment allows the franchisee to focus on setting up the business without the immediate pressure of paying the franchise fee.
It is important to note that while the initial fees are deferred, the franchisee is still obligated to execute the Franchise Agreement. This agreement outlines the terms and conditions of the franchise, including the franchisee's responsibilities, Mr. Sandless's obligations, and the duration of the franchise. Franchisees should carefully review the Franchise Agreement with legal counsel to fully understand their rights and obligations before signing.