Is a Pearce Bespoke franchisee required to pay a renewal fee to renew the franchise?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise | Summary | |
|---|---|---|---|
| Agreement | |||
| a. | Length of the franchise | Section 2(A) | 10 years |
| b. | Renewal or extension of the term | Section 2(B) | If you meet the renewal requirements set forth in the Franchise Agreement, you can renew the Franchise Agreement for up to two additional 5-year period(s). |
| c. | Requirements for you to renew or extend | Section 2(B) | Provide advance notice in writing, sign then current Franchise Agreement, pay renewal fee, remodel, meet all current Brand Standards, secure extension of lease and be in compliance with current Franchise Agreement during the term of the Agreement. You may be asked to sign a Franchise Agreement with materially different terms and conditions than your original Franchise Agreement. The entire provision is subject to state law. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 31–34)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, franchisees are required to pay a renewal fee if they choose to renew their franchise agreement. The initial franchise agreement lasts for 10 years, but franchisees have the option to renew for up to two additional 5-year periods.
To renew their franchise agreement with Pearce Bespoke, franchisees must meet several requirements. These include providing advance written notice of their intent to renew, signing the then-current franchise agreement, paying a renewal fee, completing any required remodeling, meeting all current brand standards, securing an extension of their lease, and being in compliance with the current franchise agreement during its term.
It is important to note that Pearce Bespoke may ask franchisees to sign a franchise agreement with terms and conditions that are materially different from the original agreement. Additionally, all renewal provisions are subject to state law, which may impose additional requirements or limitations.