factual

What is the Re-Inspection Fee for an Afuri Ramen Dumpling franchise?

Afuri_Ramen_Dumpling Franchise · 2024 FDD

Answer from 2024 FDD Document

Type of Fee Amount Date Due Remarks
Franchise Agreement Section 5.1).
Non-Cash Payment Systems All costs associated with non-cash payment systems As incurred You must accept debit cards, credit cards, stored value gift cards or other non-cash payment systems we specify.
Manual Replacement Fee $500 On demand You pay this fee if you lose the copy of the Operations Manual we loan to you.
Re-Inspection Fee $500 per re-inspection On demand You pay this fee if we must re-visit your location for an inspection after you have already been notified of any deficiency or non- satisfactory condition.
Liquidated Damages An amount equal to two times the total Royalty Fees paid (or if unpaid, payable) by you during the 24 months before the termination date. Within 30 days following the date of termination. Payable if you default and we terminate your Franchise Agreement.
Sanitation and Food Safety Audits Cost of the inspection On demand We may, in our sole discretion, contract with a third party to conduct sanitation and food safety audits during the term of your Franchise Agreement.
Business/Financial Audit7 Our reasonable costs for the audit if you understate revenue by more than 2% or fail to deliver to us required reports on time Immediately upon demand See notes below.
Participation in Advisory Council As incurred As incurred If you participate on an Advisory Council, you will pay any costs you incur related to your participation, such as travel and living expenses to attend

Source: Item 6 — Other Fees (FDD pages 11–16)

What This Means (2024 FDD)

According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, a Re-Inspection Fee of $500 per re-inspection is required. This fee is charged if the franchisor needs to revisit the franchisee's location for an inspection after the franchisee has already been notified of a deficiency or non-satisfactory condition. The fee is due on demand.

This means that if an Afuri Ramen Dumpling franchisee fails an initial inspection and does not correct the issues in a timely manner, they will be charged $500 for each subsequent re-inspection until the location meets the franchisor's standards. This fee is in addition to any other costs the franchisee may incur to correct the deficiencies.

Prospective Afuri Ramen Dumpling franchisees should ensure they understand the brand's inspection criteria and maintain their location to avoid incurring these re-inspection fees. Paying attention to initial inspection reports and promptly addressing any issues can help franchisees avoid these additional costs.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.