When is the Pump It Up successor term fee due?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Successor Term Fee (1) | Currently, we do not charge a Successor Term Fee. We reserve the right to charge as a Successor Term Fee 25% of the initial franchise fee then being charged to new franchisees in the future. | No less than 6 months prior to the end of the Term of your Franchise Agreement. | If we charge a Successor Term Fee, it is payable with the delivery of notice that you intend to enter into a Successor Franchise Agreement with us. |
Source: Item 6 — OTHER FEES (FDD pages 15–21)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, the successor term fee is due no less than 6 months prior to the end of the term of your Franchise Agreement. Currently, Pump It Up does not charge a Successor Term Fee, but they reserve the right to charge 25% of the initial franchise fee then being charged to new franchisees in the future.
For a prospective Pump It Up franchisee, this means that while there is no current fee for renewing the franchise agreement for a successive term, this is subject to change. If Pump It Up decides to implement this fee, you will need to pay it at least six months before your current agreement expires if you intend to renew.
It's important to note that the successor term fee could be a substantial amount, as it is calculated as a percentage (25%) of the initial franchise fee for new franchisees at the time of renewal. Therefore, franchisees should factor in the potential for this fee when considering the long-term financial implications of operating a Pump It Up franchise and the cost of renewal.