When is the payment of the initial franchise fee for a Zoomin Groomin franchise deferred until?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchise Agreement is modified to also provide as follows: "The Virginia State Corporation Commission's Division of Securities and Retail Franchising requires us to defer payment of the initial franchise fee and other initial payments owed by franchisees to the franchisor until the franchisor has completed its pre-opening obligations under the franchise agreement."
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, in Virginia, the payment of the initial franchise fee and other initial payments are deferred until Zoomin Groomin has completed its pre-opening obligations under the franchise agreement. This modification to the Franchise Agreement is required by the Virginia State Corporation Commission's Division of Securities and Retail Franchising.
This deferral provides a benefit to franchisees in Virginia, as they do not have to pay the initial franchise fee until Zoomin Groomin has fulfilled its obligations to prepare them for opening their franchise. This ensures that franchisees receive the necessary support and resources before investing fully in the business.
It is important for prospective franchisees in Virginia to understand this addendum, as it affects the timing of their initial investment. Franchisees outside of Virginia do not receive this benefit. This addendum also states that no statement, questionnaire, or acknowledgement can waive any claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on any statement made by Zoomin Groomin.