What is the renewal fee for an Aw franchise?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE1,3 | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| conference. | conference, and if you fail to do so, the conference fee must still be paid to us. You are responsible for your travel expenses. | ||
| Transfer Fee | $9,000 or $5,000 if the transferee is an existing franchisee approved by us for additional franchises. | Before transfer | Payable when you transfer the franchise, an interest in Papa Ray’s Pizza Restaurant, the assets of Papa Ray’s Pizza Restaurant or an interest in the franchisee; no fee if the transfer is to a corporation owned by you. |
| Renewal Fee | $2,500 | When you sign renewal agreement | Payable if you renew your franchise at the end of the initial term. |
| Audit/Inspection Costs | Cost of audit or inspection, including charges of professional advisors, and travel expenses, room and board and compensation or fees of our employees or agents | Upon billing | Payable if audit necessary because of your failure to file reports, supporting records, financial statements, or other required information in a timely fashion or if any audit reveals an understatement of the reported Gross Sales of greater than 2%. |
| Service Charge | Greater of $150 or the highest interest rate allowed by law not to exceed 1 ½%. | Upon billing | Payable on all overdue accounts due to us. |
| Management Fee | Currently $250 per day, plus expenses; subject to increase | As agreed | Payable to us during period that our appointed manager manages Papa Ray’s Pizza Restaurant, at our option, after 14 days from your receipt of a default notice or 30 days following your death or disability. |
| Fee for supplier approval | $250 | Upon demand | Payable if you request our determination if a supplier meets our approval. |
| Relocation fee | $500 plus any travel expenses incurred by us in visiting the proposed site. | Upon demand | Payable if you relocate your store. You must obtain our prior consent to relocate. |
Source: Item 6 — OTHER FEES (FDD pages 13–16)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, franchisees must pay a renewal fee if they choose to renew their franchise agreement at the end of the initial term. The renewal fee is $2,500. This fee is payable when the franchisee signs the renewal agreement.
Renewal fees are common in franchising and are typically less expensive than the initial franchise fee. This lower fee acknowledges the franchisee's established business and experience with the Aw system. It covers Aw's costs associated with updating the franchise agreement and providing continued support.
Prospective Aw franchisees should consider the renewal fee as part of their long-term investment. Franchisees should also inquire about any other conditions or requirements for renewal, such as meeting certain performance standards or completing additional training.