What is the approximate range of fees for the Auntie Annes Refresh/Remodel Site Survey and Design Fee?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee1, 3 | Amount | Date Due | Remarks |
|---|---|---|---|
| for each month between the termination date and the first anniversary of lease. | |||
| Remote Location Baking License Fee | $3,000 per year | As Incurred | For certain venues, such as stadiums, which may not be suitable for a full franchise or other program, we may allow you to bake products at your Shop and sell products at the alternate location. This annual fee applies when baking is done at a location remote from the franchised location. |
| Relocation Fee | 10% of the then current Initial Franchise Fee | Before you relocate | If you relocate to a new site that we have accepted, you must pay the Relocation Fee. |
| Relocation Extension Fee | $1,500 per year that the term is extended | Before we sign relocation Franchise Agreement | If you relocate to a new site and we agree to extend the term of your Franchise Agreement (or enter into a new Franchise Agreement) to match the term of your new lease, you must pay the Relocation Extension Fee in addition to the Relocation Fee. |
| Refresh/ Remodel Site Survey and Design Fee | Our then-current fee. Currently, such fee is approximately $1,200 to $6,000 depending on the scope of the required changes. | As incur |
Source: Item 6 — OTHER FEES (FDD pages 30–44)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, franchisees must refresh their shops every five years and remodel every ten years to meet the brand's standards. As part of this process, Auntie Annes may require franchisees to pay a Refresh/Remodel Site Survey and Design Fee. This fee covers the cost of inspecting the shop and creating a site survey and/or design plan to ensure compliance with Auntie Annes's standards.
The Refresh/Remodel Site Survey and Design Fee is not a fixed amount. The FDD states that the fee is approximately $1,200 to $6,000, but the exact amount depends on the scope of the changes required for the refresh or remodel. This means that a simple refresh might incur a fee closer to the lower end of the range, while a more extensive remodel could result in a fee closer to the higher end.
As the fee is dependent on the scope of work, prospective Auntie Annes franchisees should inquire about what factors contribute to the scope of required changes. Understanding the criteria that determine the fee can help franchisees budget for these periodic refresh and remodel expenses. It would also be prudent to ask for examples of past refresh/remodel projects and their associated costs to gain a better understanding of potential expenses.