Is there a one-time franchise fee required to enter into a Pearce Bespoke Franchise Agreement?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
We offer and sell franchises to Franchisees for mobile units under the Pearce Bespoke™ mark (hereinafter, "Franchise") under the terms of the franchise agreement in the form included in this Disclosure Document, as Exhibit E (the "Franchise Agreement"). A Franchise is a mobile unit from which you will sell quality custom men's and women's clothing and accessories. Pearce Bespoke emphasizes consumer value by offering quality custom merchandise at substantial savings and convenience from traditional custom tailors. If you enter into a Franchise Agreement, you must pay us a one-time franchise fee upon execution of your Franchise Agreement, as defined below in Item 5 below and in the Franchise Agreement.
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 7–8)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, a one-time franchise fee is required when entering into a Franchise Agreement. Specifically, the FDD states that if you enter into a Franchise Agreement with Pearce Bespoke, you must pay a one-time franchise fee upon the execution of the agreement. Further details regarding the amount and payment terms of this fee are defined in Item 5 of the FDD and within the Franchise Agreement itself.
This initial franchise fee is a common practice in the franchising industry and serves to compensate Pearce Bespoke for granting the franchisee the rights to use their brand, business system, and operational support. It is essential for prospective franchisees to carefully review Item 5 of the FDD to understand the exact amount of the franchise fee, its payment schedule, and whether any portion of it is refundable under certain conditions.
Understanding the one-time franchise fee is crucial for potential Pearce Bespoke franchisees as it represents a significant initial investment. Franchisees should factor this fee into their overall startup costs and financial projections. Additionally, they should inquire about any financing options that Pearce Bespoke may offer or recommend to help cover this initial fee. Consulting with a financial advisor is advisable to assess the affordability and potential return on investment of a Pearce Bespoke franchise, considering this upfront cost.