Which entity imposed the deferral requirement for the Zoomin Groomin initial franchise fee in Illinois?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
- F. Payment of the initial franchise fee shall be deferred until Franchisor has satisfied its preopening obligations to Franchisee and Franchisee has commenced doing business. The Illinois Attorney General's Office imposed this deferral requirement due to Franchisor's financial condition.
Source: Item 17 — g. of the Disclosure Document is modified to state that, in addition to the grounds for immediate termination specified in Item 17.h., the franchisor can terminate upon written notice and a 60 day opportunity to cure for a breach of the Franchise Agreement. (FDD pages 51–65)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the Illinois Attorney General's Office imposed the requirement to defer payment of the initial franchise fee in Illinois. This deferral is in place until Zoomin Groomin has met its pre-opening obligations to the franchisee and the franchisee has started business operations.
This requirement is specific to franchises governed by the Illinois Franchise Disclosure Act, and it supersedes any conflicting terms in the standard Franchise Disclosure Document or Franchise Agreement. The deferral was mandated due to Zoomin Groomin's financial condition at the time of the FDD.
For a prospective Zoomin Groomin franchisee in Illinois, this deferral offers a significant benefit. It reduces the upfront financial burden and risk, as the initial franchise fee is not due until Zoomin Groomin has fulfilled its obligations and the franchise is ready to open. This protection ensures that franchisees are not paying fees before they can commence business operations.