How does Zoomin Groomin require franchisees to pay fees?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
The terms of the Company's franchise agreement will be as follows:
- A. The Company will grant the right to use the Company name, trademark and system in the franchisees franchise development business.
- B. The franchisee is obligated to pay a non-refundable initial franchise fee.
- C. The franchisee is obligated to pay a monthly royalty fee and other fees as outlined in the agreement.
- D. All other terms of the Franchise Disclosure Document.
You will contribute 2% of your Gross Revenues into our Advertising Fund.
Should you (i) provide Services or otherwise operate your Franchised Business in another franchisee's territory or (ii) fail to strictly comply with Section 1.3 (C) within fifteen (15) days after being advised that our permission to provide Services or otherwise operate the Franchised Business outside the Territory is revoked because a new franchisee purchased certain rights, then you will pay to the franchisee in whose territory such Services were provided an amount equal to 100% of all grooming and convenience fees charged. Furthermore, you must notify such franchisee who has rights in such territory and provide payment to them within ten (10) days of receipt of payment by you.
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, franchisees are obligated to pay several fees to the company. These include a non-refundable initial franchise fee, as well as ongoing monthly royalty fees. Franchisees are also required to contribute 2% of their gross revenues to Zoomin Groomin's advertising fund.
Additionally, if a franchisee provides services in another franchisee's territory or fails to comply with specific operational requirements, they may be required to pay the affected franchisee 100% of all grooming and convenience fees charged. This payment must be made within ten days of receiving payment for the services.
These financial obligations are typical in franchising, as they provide the franchisor with revenue to support the brand and provide ongoing services to franchisees. Prospective franchisees should carefully consider these fees and ensure they understand the payment terms and conditions before investing in a Zoomin Groomin franchise.