What opening assistance does B Bops provide as part of the initial franchise fee?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Initial Franchise Fee. The initial franchise fee payable for the first Franchise established under the multiple-unit arrangement is $30,000. The Company's 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 (other than the Company's out-ofpocket costs for airline and hotel expenses for the people provided by the Company for the opening assistance) is provided by the Company as a part of the initial franchise fee. See Item 11 for more information on opening assistance. Each additional Franchise established under the multiple-unit arrangement requires payment of an initial franchise fee of $20,000. The initial franchise fee for each Franchise is required to be paid to the Company upon execution of the then current franchise agreement granting you the right to establish the Franchise. As noted above, $5,000 of the development fee will be applied by the Company toward the initial franchise fee payable for each Franchise established under the Development Agreement. The initial franchise fee for Franchises purchased under the multiple-unit arrangement is uniform in all cases. Except as noted below, such fee is not refundable, in whole or in part, under any circumstances. You must pay, on demand, any out-of-pocket airline and hotel expenses incurred by the Company to provide the opening assistance, and none of those costs will be refundable.
Deposit on Application. To apply for purchase of development rights, you must sign and submit an Application Agreement to the Company, accompanied by a deposit of $5,000. The amount of the deposit is uniform as to all persons currently applying to purchase development rights from the Company.
Source: Item 5 — INITIAL FEES (FDD pages 12–14)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the company provides opening assistance as part of the initial franchise fee for both single-unit and multiple-unit arrangements. This assistance spans a period of three to five days before the franchise opens and four to six days immediately after opening. However, B Bops franchisees are responsible for covering the out-of-pocket costs associated with airline and hotel expenses for the B Bops personnel providing the 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 a multiple-unit arrangement, the initial franchise fee is also $30,000 for the first franchise. Each additional franchise under this arrangement requires an initial fee of $20,000. A development fee, calculated by multiplying $5,000 by the number of franchises to be developed, is also required. A credit of $5,000 from the initial deposit is applied towards this development fee.
Prospective franchisees should note that while B Bops provides opening assistance, the franchisee bears the responsibility for covering the travel and lodging expenses of the B Bops team. This is a common practice in franchising, but it's crucial to factor these additional costs into the overall investment required to launch the franchise.