When is the initial franchise fee for Aunt Millies Bakeries due?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
| $36,988 to $186,494 | | | |1 The amount of the initial franchise fee will be determined by us and will depend on the historical sales volume for the Sales Area covered by the franchise.
2 We will offer you the use of a hand-held computer system, compatible with our system. The weekly use rate for the hand-held computer system, including maintenance, is currently $30. In addition, we charge you $5 a week for printer paper and ribbons that are compatible with the hand-held computer. This fee is not refundable.
3 We will charge you sales and use taxes on the computer use and computer supplies. The amount of taxes will vary by state. We estimate they will be between $2 and $3 per week.
- 4 If you do not currently own a delivery vehicle that is adequate to service the Sales Area with the Products, you must purchase or lease a delivery truck from a third party. The low estimate assumes you lease a vehicle. The high estimate assumes you purchase a new vehicle.
- 5 You have the option of financing 90% of the initial Franchise Fee (see Item 10 of this Franchise Disclosure Document). If you elect to obtain financing from First Capital Acceptance Corp., ("Lender" or "First Capital"), you must pay a Loan Fee equal to $350 plus 1/2% of the loan amount. The Loan Fee may be financed; see Item 10.
- 6 You have the option of financing the remaining 10% of the initial Franchise Fee from Distribution Services of America, Inc. ("DSA"), which is not affiliated with Aunt Millie's Bakeries (see Item 10 of this Franchise Disclosure Document). If you finance with DSA, you must pay DSA a loan origination fee of $400. The loan origination fee
Source: Item 5 — INITIAL FEES (FDD page 12)
What This Means (2025 FDD)
Based on the 2025 Aunt Millies Bakeries Franchise Disclosure Document, the timing of the initial franchise fee payment is not explicitly detailed. However, the document does state that the amount of the initial franchise fee will be determined by Aunt Millie's Bakeries and will depend on the historical sales volume for the Sales Area covered by the franchise.
Item 10 of the FDD discusses financing options for the initial franchise fee. Aunt Millie's Bakeries has made arrangements with First Capital Acceptance Corp. to offer financing for up to 90% of the initial franchise fee, subject to qualification. Additionally, financing for the remaining 10% of the initial franchise fee is available through Distribution Services of America, Inc. (DSA), which is not affiliated with Aunt Millie's Bakeries. If financing with DSA, a loan origination fee of $400 is required.
Since the FDD does not specify when the initial franchise fee is due, it is important for a prospective franchisee to clarify this information with the franchisor. Understanding the payment terms and schedule for the initial franchise fee is crucial for financial planning and ensuring sufficient funds are available when required. A potential franchisee should also inquire about any potential discounts or alternative payment arrangements that may be available.