What agreement must a Pearce Bespoke franchisee execute prior to the expiration of the term for renewal?

According to Pearce Bespoke's 2025 Franchise Disclosure Document, a franchisee must execute the then-current Franchise Agreement prior to the expiration of the existing term to renew their franchise. However, instead of paying the Initial Franchise Fee, the franchisee will pay a Renewal Fee. The renewed Franchise Agreement will not contain any further renewal rights but may include continuing rates.

This condition ensures that Pearce Bespoke franchisees are operating under the most up-to-date terms and conditions. It also allows Pearce Bespoke to update the agreement to reflect changes in the business environment or legal requirements.

For a prospective franchisee, this means that the terms of their franchise could change upon renewal. While the Renewal Fee replaces the Initial Franchise Fee, franchisees should carefully review the new Franchise Agreement to understand any differences in obligations, royalty rates, advertising contributions, or other terms. Franchisees should also be aware that the renewed agreement will not offer further renewal options, so this will be their final term as a Pearce Bespoke franchisee unless otherwise negotiated.