What is the franchise fee for a Pearce Bespoke Territory 1?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will pay Franchisor a non-refundable Initial Franchise Fee equal to the amount listed in ATTACHMENT A - FRANCHISEE SPECIFIC TERMS of this Agreement, which will be fully earned and payable on the date of this Agreement. The Initial Franchise Fee payable by Franchisee is payment to Franchisor for the costs that it will incur to get Franchisee into business including costs Franchisor incurs for training, territory evaluation, business overhead costs, travel costs, and for the other initial services Franchisor provides hereunder.
Based upon Franchisor's financial condition, the Illinois Office of the Attorney General has required a Surety Bond be executed and on file with them in the amount of the initial (and development) fee multiplied by the number of franchises to be sold in Illinois.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, the initial franchise fee is determined by the amount listed in ATTACHMENT A - FRANCHISEE SPECIFIC TERMS of the Franchise Agreement. This fee is non-refundable and payable on the date of the agreement. The FDD specifies that this initial fee compensates Pearce Bespoke for costs incurred to set up the franchisee's business, including training, territory evaluation, business overhead, and travel.
For a prospective Pearce Bespoke franchisee, the specific initial franchise fee amount is not detailed directly in the provided excerpts but is instead located in the Franchisee Specific Terms attachment. This attachment is unique to each franchisee agreement. The FDD notes that the Illinois Office of the Attorney General requires a surety bond based on the initial fee multiplied by the number of franchises to be sold in Illinois, indicating the importance of this fee.
Therefore, a potential franchisee should carefully review ATTACHMENT A within their specific Franchise Agreement to understand the exact initial franchise fee required for their Territory 1, as this amount can vary. Understanding this fee is crucial, as it represents the upfront investment required to begin operating a Pearce Bespoke franchise and covers essential setup and training costs provided by the franchisor.