When is the Auntie Annes initial franchise fee for a full shop due?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
ed by us and/or the Co-Branded Franchisor. All other fees will be charged by (x) us or the Co-Branded Franchisor, but not both or (y) jointly by both us and the Co-Branded Franchisor (and split between the two of us).
ITEM 7. ESTIMATED INITIAL INVESTMENT
YOUR ESTIMATED INITIAL INVESTMENT: FULL SHOP
| Type of Expenditure | Amount of Expenditure | | Method of Payment | When Payments Are | To Whom Payment Will | |----------------------------------
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 44–54)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, the initial franchise fee for a full shop, which ranges from $35,500 to $66,000, is due at the signing of the Franchise Agreement. This fee is paid as a lump sum to Auntie Annes.
For prospective franchisees, this means that the initial franchise fee must be paid upfront when the franchise agreement is signed. This is a standard practice in franchising, as it secures the franchisee's rights to operate under the Auntie Annes brand and utilize their system.
It is important to note that for Co-Branded Shops, the initial franchise fee estimate includes both the fee paid to Auntie Annes and a separate initial franchise fee paid to either Cinnabon or Jamba, depending on the co-branding arrangement. Therefore, the total initial franchise fee will be higher for co-branded locations.