Detailed Information on My Eyelab’s Initial Franchise Fee, Royalty Fee + 21 Other Fees (Items 5 and 6, 2021 FDD)

1.  Initial Franchise Fee:  $34,900

• You must pay to My Eyelab an Initial Franchise Fee in a lump sum when you sign the Franchise Agreement. The Initial Franchise Fee is $34,900 for each My Eyelab purchased.

• To those individuals who have served as active duty military members (U.S. Armed Forces and not discharged or released therefrom under dishonorable conditions) or first responders (police officers, EMTs, paramedics, and firefighters) for more than five years, My Eyelab offers a 10% discount off the Initial Franchise Fee as an incentive.

2.  Initial Development Fee:  the Initial Franchise Fee for your first My Eyelab Franchise and one-half of the Initial Franchise Fee for each committed Unit beyond the first

• If you enter into a Regional Area Development Agreement (“Development Agreement”), you will pay an Initial Development Fee equal to the Initial Franchise Fee for your first My Eyelab Franchise and one-half of the Initial Franchise Fee for each committed Unit beyond the first.

• These amounts will be credited against the Initial Franchise Fee for your first and subsequent Units.

• A minimum of 3 committed locations is required for a Development Agreement.

3.  Royalty Fee:  4% of weekly Gross Sales

• Due Date:  Due on Wednesday of each week on Gross Sales during previous week ending Saturday.

• Fee imposed by and payable to My Eyelab.

4.  Advertising Fund Fee:  up to 8% of weekly Gross Sales (currently 8%)

• Due Date:  Due on Wednesday of each week on Gross Sales during previous week ending Saturday.

• Fee imposed by and payable to My Eyelab.

5.  Cooperative Advertising Programs Fee:  currently none

• Due Date:  As Cooperative Program directs.

• Cooperative Advertising Programs should My Eyelab choose to implement one.

6.  Contact Center Fee:  2% of weekly Gross Sales

• Due Date:  Due on Wednesday of each week on Gross Sales during previous week ending Saturday.

• The Contact Center will automate tasks such as acceptance of inbound calls, outbound call campaigns, scheduling and confirmation of appointments, and notifying customers when their glasses are ready.

• Fee imposed by and payable to My Eyelab.

7.  Additional Training or Assistance Fee:  contained in My Eyelab’s most current Operations Manual

• Due Date:  When training or assistance begins.

• My Eyelab may charge you for training newly-hired personnel; for refresher training courses; and for additional or special assistance or training you need or request.

• These fees will be imposed by and payable only to My Eyelab.

• For all training sessions, you must pay directly for your trainees’ and representatives’ salaries and benefits, and for their travel, lodging, and meal expenses.

• My Eyelab may deem additional training necessary and required should it determine that you are performing below standard.

8.  Convention Fee:  approximately $500

• Due Date:  Upon invoicing.

• You must attend My Eyelab’s Franchisee Convention at your additional cost and expense. This Convention is held as frequently as annually.

• The fee is imposed by and payable to My Eyelab.

9.  Transfer Fee:  When transferred to someone outside the My Eyelab franchise system: 80% of then-current Initial Fee; When transferred to an existing My Eyelab franchisee: 50% of then-current Initial Fee. Transferor may also be required to pay $1,500 towards My Eyelab’s costs associated with the transfer.

• Due Date:  Before transfer completed.

• Fees imposed by and payable to My Eyelab.

• No charge if Franchise Agreement transferred to an entity you control.

10.  Product and Service Purchases:  varies

• Due Date:  Weekly.

• You must buy certain products or services sold or offered at your franchised Store only from My Eyelab or authorized suppliers.

11.  Warranty:  the actual cost

• Due Date:  As incurred.

• You must offer your customers a 30-day manufacturer warranty on eyeglasses, no questions asked, and a 1-year warranty on eyeglass frames.

• You are responsible for all costs, such as shipping, and including the cost of the frames that exceeds the 20% co-pay paid by the customer.

12.  Computer Systems, Technology, Support:  Current Computer System: $10,000 to $15,000; New Proprietary Software or Technology: fees will be contained in My Eyelab’s most recent Operations Manual

• Due Date:  When billed.

• The computer system currently required by My Eyelab is a POS system that serves as a database for customers, inventories, sales, procedures, and more.

• This fee is currently imposed by and payable to My Eyelab.

• My Eyelab or a third party may charge you a fee for any proprietary software or technology that it, its affiliates, or a third-party licenses to you, and for other maintenance and support services that My Eyelab or a third party might provide in the future.

13.  Audit:  the actual cost to My Eyelab of inspection or audit

• Due Date:  15 days after billing.

• Fee imposed by and payable to My Eyelab and owed if you do not give My Eyelab reports, supporting records, or other required information, or if you understate required payments by more than 2%.

14.  Interest:  interest on late payments is 18%, not to exceed the highest rate permitted by law

• Due Date:  15 days after billing.

• Fee imposed by and payable to My Eyelab and owed on all overdue amounts.

15.  Maintenance and Refurbishing of Store:  you must reimburse My Eyelab’s actual expenses

• Due Date:  15 days after billing.

• If, after My Eyelab notifies you, you do not undertake efforts to correct deficiencies in Store appearance or refurbish your Store within the timeframe prescribed by My Eyelab, then My Eyelab can undertake the repairs or refurbishment and you must reimburse it.

16.  Insurance:  you must reimburse My Eyelab’s actual expenses

• Due Date:  15 days after billing.

• If you fail to obtain insurance, My Eyelab may obtain insurance for you and you must reimburse My Eyelab directly.

17.  Insufficient Funds:  $100 charge for each NSF check

• Due Date:  As incurred.

• Fee imposed by and payable only to My Eyelab if you have insufficient funds in your EDTA to cover a payment, or, if you pay by check, the check is returned for insufficient funds.

18.  Non-Compliance Fee:  $500 initially, and then $250 per week until compliance is achieved

• Due Date:  After 10 days’ written notice.

• Payable to My Eyelab in event of your noncompliance with Franchise Agreement or operating standards, to cover estimate of My Eyelab’s internal cost of personnel time addressing the non-compliance.

19.  POS Maintenance Fee:  currently $4,300

• Due Date:  Annually.

• Paid to My Eyelab in monthly installments. Prorated billing begins the month after your Store opens for the remainder of the calendar year.

20.  Management Fee:  $400 per person per day (plus costs and expenses)

• Due Date:  As incurred.

• Owed when My Eyelab (or a third party) manages your Store after your managing owner’s death or disability, or after your default or abandonment.

• Fee imposed by and payable only to My Eyelab.

21.  Relocation Fee:  $5,000 within Trade Area; new franchise fee outside of Trade Area

• Due Date:  Prior to relocation.

• Owed when you relocate your Store.

• Fee imposed by and payable only to My Eyelab.

22.  Attorneys’ Fees and Costs:  will vary under circumstances

• Due Date:  As incurred.

• Fee owed when My Eyelab is the prevailing party in a dispute over enforcement of the Franchise Agreement.

• Imposed by and payable only to My Eyelab.

23.  Renewal Fee:  10% of My Eyelab’s then-current Initial Franchise Fee

• Due Date:  Prior to renewal.

• Paid to and imposed by My Eyelab upon the granting of a renewal of your Franchise Agreement.