Is the initial franchise fee for Precision Door Service refundable?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon signing of this Agreement, you must pay to us an initial franchise fee as set forth in the Data Sheet (the "Initial Franchise Fee"), which is earned upon receipt and is non-refundable.
Any financing of the Initial Franchise Fee is only available if we offer you financing under the terms of the Promissory Note and Security Agreement included as Schedule G.
Source: Item 22 — Contracts (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Precision Door Service Franchise Disclosure Document, the initial franchise fee is non-refundable. Upon signing the Franchise Agreement, the franchisee must pay the initial franchise fee as outlined in the Data Sheet. Precision Door Service earns this fee upon receipt.
This means that a prospective Precision Door Service franchisee should be aware that once the Franchise Agreement is signed and the initial fee is paid, the franchisee cannot get that money back. This is a fairly standard practice in franchising, as the fee covers Precision Door Service's initial costs of granting the franchise, such as training and setting up the franchisee.
The FDD does state that financing of the Initial Franchise Fee is only available if Precision Door Service offers financing under the terms of the Promissory Note and Security Agreement included as Schedule G. This may be an important consideration for prospective franchisees who need assistance covering the initial fee.