What is the Cumulative Development Fee for five Pearce Bespoke franchises under a Development Agreement?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| Number of | ||
|---|---|---|
| Franchises We Grant | ||
| Franchise Fee | Cumulative Development Fee | |
| You the Right to | ||
| Develop | ||
| 1 | $55,900 | $55,900 |
| 2 | $50,900 | $106,800 |
| 3 | $45,900 | $152,700 |
| 4 | $40,900 | $193,600 |
| 5 | $35,900 | $229,500 |
| 6 | $30,900 | $260,400 |
Source: Item 5 — INITIAL FEES (FDD pages 9–11)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, a prospective franchisee entering into a Development Agreement for five franchises will pay a cumulative development fee of $229,500. This fee grants the franchisee the right to develop five Pearce Bespoke franchises within a specific Development Area, as determined by Pearce Bespoke. The Development Fee is a one-time fee due upon the execution of the Development Agreement.
Pearce Bespoke determines the number of franchises appropriate for development based on factors such as territory availability, the franchisee's business acumen, financial resources, and overall business experience. This suggests that not all applicants will be approved for a Development Agreement, and the number of franchises granted may vary.
It's important to note that this Development Fee is separate from other initial fees, such as the Franchise Fee for each location, the Opening Inventory Package, and potential costs for On-Site Training and Clothier Inventory Packages. The FDD states that no additional initial franchise fee is required at the time each individual franchise agreement is executed under the Development Agreement. The initial fees are deemed fully earned upon payment and are non-refundable under any circumstances.