What is the deadline for requesting a refund of the Initial Franchise Fee for a Pump It Up franchise?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
(2) We may refund up to 50% of the Initial Franchise Fee you actually paid to us if, after making a good faith effort, as determined by us in our reasonable discretion, you:
(a) within one year of the Effective Date of the Franchise Agreement: (i) are unable to sign a lease agreement or real estate purchase agreement for a Premises to operate your Franchised Business; or (ii) to secure lender financing for the development and operation of your Franchised Business; and
(b) you provide us with written notice of your request for a refund prior to the one-year anniversary of the Franchise Agreement; and
(c) you execute a voluntary termination agreement and general release with us (See Exhibit E to the Franchise Disclosure Document).
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, a prospective franchisee may be eligible for a refund of up to 50% of the initial franchise fee under certain conditions. To qualify for this refund, the franchisee must make a good faith effort to either sign a lease agreement or real estate purchase agreement for a suitable premises, or secure lender financing for the development and operation of the franchise. This effort must be made within one year of the effective date of the Franchise Agreement.
To formally request the refund, the franchisee must provide Pump It Up with written notice before the one-year anniversary of the Franchise Agreement. Additionally, the franchisee must execute a voluntary termination agreement and general release with Pump It Up, as detailed in Exhibit E of the Franchise Disclosure Document.
It is important to note that the refund is not guaranteed, as Pump It Up will determine in its reasonable discretion whether the franchisee made a sufficient good faith effort. Meeting the deadline and fulfilling the conditions are crucial steps in seeking a potential refund of the initial franchise fee.