Where in the Azal Coffee franchise agreement can I find the amount of the Initial Franchise Fee?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
| D. Initial Franchise Fee; Transfer Fee . You are not required to pay the initial | franchise fee specified in Section 4.1 of the Franchise Agreement. In lieu of the initial franchise fee, | you (or the Seller) must pay a transfer fee in the amount of $ The transfer fee is | payable on or before the signing of this Addendum.
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, the standard initial franchise fee details are found in Section 4.1 of the Franchise Agreement. However, if you are acquiring an existing Azal Coffee store through a transfer, there's an addendum that modifies the standard agreement.
Specifically, Section D of the addendum, titled "Initial Franchise Fee; Transfer Fee", states that franchisees acquiring an existing store are not required to pay the initial franchise fee typically outlined in Section 4.1. Instead, either the franchisee or the seller must pay a transfer fee, the amount of which is specified in the addendum as "$ ".
This means that the actual transfer fee amount is not provided in this section of the addendum. A prospective Azal Coffee franchisee should carefully review the full Franchise Agreement and any associated addenda to understand the specific fees applicable to their situation, and should confirm the transfer fee amount with the franchisor.