When is the initial franchise fee due for a B Bops franchise?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made |
|---|---|---|---|---|
| Application deposit1 | $5,000 | Lump sum | Upon submission of Application Agreement | Company |
| Initial franchise fee1 | $30,000 for first Franchise purchased; $20,000 for each additional Franchise | Lump sum | Upon execution of the Franchise Agreement; $2,500 credit allowed for deposit paid under Application Agreement | Company |
| Real estate2 | Not subject to accurate estimation | -- | -- | -- |
| Architectural | $20,000 to $60,000 | As agreed | Prior to opening | Architect and |
| expenses3 | engineers | |||
| Construction of building (including site work)4 | $700,000 to $1,800,000 | As agreed | Prior to opening | Contractor and sub-contractors |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 18–21)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the initial franchise fee is due upon the execution of the Franchise Agreement. The initial franchise fee is $30,000 for the first franchise purchased. If a franchisee purchases additional franchises, the fee is $20,000 for each additional franchise.
Notably, B Bops does offer a credit for the application deposit. Franchisees are allowed a $2,500 credit for the deposit paid under the Application Agreement, which reduces the initial franchise fee due at the time of signing the Franchise Agreement.
In the franchise industry, it is standard practice for the initial franchise fee to be paid when the franchise agreement is signed. This fee grants the franchisee the right to operate under the B Bops brand and utilize their system. The initial franchise fee contributes to the estimated total initial investment of $1,128,200 to $2,514,200, excluding the developmental fee, if applicable, and real estate costs.