What is the obligation of the Azal Coffee franchisee regarding the lease review fee?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
t 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, as part of the lease approval process, Azal Coffee may have an attorney review the proposed lease to ensure it meets their requirements. If Azal Coffee chooses to conduct this review, they have the right to charge the franchisee a non-refundable fee of up to $1,500 to cover the cost.
This fee is intended to cover the expenses Azal Coffee incurs for the legal review of the lease agreement. The franchisee is obligated to pay this fee within 7 days of demand from Azal Coffee. It is important to note that this payment is non-refundable, regardless of whether the lease is ultimately approved or not.
This lease review fee is in addition to the initial franchise fee of $25,000 and the initial supply of goods fee, which ranges from $70,000 to $80,000. Prospective Azal Coffee franchisees should factor this potential expense into their initial investment calculations and be prepared to pay it promptly upon request to avoid any delays in the lease approval process.