Is the initial franchise fee for single-unit B Bops franchises uniform in all cases?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Initial Franchise Fee. The amount of the initial franchise fee to be paid for the purchase of one Franchise under the single-unit arrangement depends on whether you already own and operate an existing Franchise. If you do not own an existing Franchise, the initial franchise fee is $30,000. Of that amount, a $5,000 deposit (described below) must be paid when you submit an executed Application Agreement (Exhibit E hereto) to the Company for the purchase of a Franchise. If the Company decides to grant you a Franchise, you must pay the remaining $20,000 of the initial franchise fee when you execute the Franchise Agreement.
If you already own and operate an existing Franchise, the initial franchise fee is $25,000. This amount must be paid when you execute the Franchise Agreement for the additional Franchise.
Except under the limited circumstances discussed below, the initial franchise fee is not refundable, in whole or in part, under any circumstances. Except as discussed above, the initial franchise fee for Franchises purchased under the Company's single-unit arrangement is uniform in all cases.
Source: Item 5 — INITIAL FEES (FDD pages 12–14)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the initial franchise fee for single-unit franchises is generally uniform, but there are exceptions. The standard initial franchise fee for a single-unit B Bops franchise 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 $25,000 due upon execution of the Franchise Agreement.
However, if a franchisee already owns and operates an existing B Bops franchise, the initial franchise fee for an additional single-unit franchise is $25,000, which is paid upon execution of the Franchise Agreement. This represents a $5,000 reduction compared to the standard fee.
The FDD states that the initial franchise fee is generally non-refundable, with limited exceptions not detailed in this section. It also specifies that the initial franchise fee for single-unit franchises is uniform in all cases, except for the situation where the franchisee already owns an existing B Bops franchise, in which case the fee is lower. Prospective franchisees should clarify the conditions under which the initial franchise fee may be refundable and any other potential variations in fees with the franchisor.