What expenses related to opening assistance are the franchisee required to pay for a B Bops franchise?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
The Company also provides opening assistance for a period of between three and five days prior to the opening of the Franchise and for a period of four to six days immediately following the opening of the Franchise as a part of the Franchise Fee. You are required to pay for all round trip airline and hotel expenses incurred by the Company for its representatives providing the opening assistance.
Source: Item 5 — INITIAL FEES (FDD pages 12–14)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, franchisees are responsible for covering specific out-of-pocket expenses related to the opening assistance provided by B Bops. For both single-unit and multiple-unit franchise arrangements, B Bops provides opening assistance for a period of three to five days before the franchise opens and four to six days after opening. This assistance is included as part of the initial franchise fee. However, the franchisee is separately required to pay for the round trip airline and hotel expenses incurred by B Bops representatives while they provide this opening assistance. These costs are not refundable.
For a single-unit franchise, the initial franchise fee is $30,000 if the franchisee does not already own an existing B Bops franchise. A $5,000 deposit is required when submitting the Application Agreement, with the remaining $20,000 due upon execution of the Franchise Agreement. If the franchisee already owns an existing franchise, the initial franchise fee for an additional franchise is $25,000, payable upon execution of the Franchise Agreement. For multiple-unit arrangements, the initial franchise fee is $30,000 for the first franchise and $20,000 for each additional franchise. A development fee, calculated as $5,000 times the number of franchises to be developed, is also required.
Prospective franchisees should consider these additional expenses when budgeting for the initial investment. While the initial franchise fee covers the cost of the opening assistance itself, the franchisee must still account for the travel and lodging costs of the B Bops representatives. This could potentially add a significant expense, depending on travel distances and hotel rates. It is important for potential franchisees to discuss these costs with B Bops to get a better estimate of what these expenses might be for their specific location.