When is the initial franchise fee for Azal Coffee payable?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
INITIAL FEES**
You must pay an initial franchise fee of $25,000 for an Azal Coffee franchise. The initial franchise fee is payable in full at the time you sign the Franchise Agreement.
All initial franchise fees are earned at the time of payment and are not refundable under any circumstances. Initial franchise fees are uniform. It is our intent to charge all new franchisees the same initial franchise fee.
You must also pay our affiliate, Wholesale $70,000 to $80,000 for your initial supply of coffee beans, tea, coffee and tea mixes, equipment, paper products, syrups, sauces, milk, cups, mugs, branded products, coffee supplies, bakery goods, uniforms, and other inventory items. This range also includes the estimated cost to ship the goods to your Franchise Location. You must pay this fee before you open and immediately upon invoice. This payment is not refundable.
As part of our lease approval process, we may have an attorney review the proposed lease to ensure that the proposed lease meets our requirements. We will have a right to charge you a non-refundable fee up to $1,500 to cover the cost of that review. You must pay this fee within 7 days of demand. This payment is n
Source: Item 5 — INITIAL FEES (FDD page 12)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, the initial franchise fee of $25,000 is payable in full when you sign the Franchise Agreement. This fee grants you the right to operate an Azal Coffee franchise.
It is important to note that the initial franchise fee is considered earned upon payment and is non-refundable under any circumstances. This means that once you pay the $25,000, you will not receive a refund, regardless of whether you proceed with opening the franchise. Azal Coffee states that the initial franchise fees are uniform, meaning they intend to charge all new franchisees the same initial franchise fee.
In addition to the initial franchise fee, you must also pay Azal Coffee's affiliate, Wholesale, between $70,000 and $80,000 for your initial supply of goods. This payment is due before you open and immediately upon invoice, and it is also non-refundable. Furthermore, Azal Coffee may charge a non-refundable fee of up to $1,500 for an attorney to review the proposed lease, payable within 7 days of demand.