What is the Loan Fee charged by Aunt Millies Bakeries, and when is it due?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Loan Fee1 | $350 plus ½% of loan amount | Only if financing required and only on acceptance of financing | To cover lender’s administrative costs of financing the loan |
Source: Item 6 — OTHER FEES (FDD pages 13–15)
What This Means (2025 FDD)
According to Aunt Millies Bakeries's 2025 Franchise Disclosure Document, a Loan Fee is charged to cover the lender's administrative costs of financing the loan. This fee is only applicable if financing is required and only upon acceptance of financing.
The Loan Fee amounts to $350 plus one-half percent (0.5%) of the total loan amount. For example, on a $10,000 loan, the Loan Fee would be $350 + (0.005 * $10,000) = $350 + $50 = $400. This fee is payable to Aunt Millie's Bakeries, and like all other fees, it is nonrefundable.
Prospective franchisees should consider this Loan Fee as part of their initial investment if they plan to finance their franchise. It's important to factor this cost into the overall financial planning and to understand the terms and conditions associated with the financing. Aunt Millies Bakeries also notes that they may collect payments franchisees owe to third parties for optional programs, such as financing by Distribution Services of America, Inc., vehicle lease payments, DSA tax and accounting services, and Allstate Insurance for insurance coverage.