What fee must a Bananas Smoothies Frozen Yogurt franchisee pay to renew the franchise?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Franchisee has not been in default at any time during the term of the Franchise Agreement, even if such default was subsequently cured; and
- (d) Franchisee is not a lessee under a lease agreement with Franchisor, provided Franchisor may in its sole discretion waive this provision; and
- (e) Franchisee (and its owners) execute Franchisor's then-current form of Franchise Agreement, and all other agreements, legal instruments (including a general release and personal guarantees by Franchisee's owners) and other documents customarily used by the Franchisor in the granting of franchises for the Restaurants, which may vary materially from those presently in use. The Franchisee shall pay a renewal fee of fifty (50%) percent of the then current initial franchise fee in lieu of the initial franchise fee; and
- (f) Franchisee maintains possession of the Premises and upgrades the equipment, fixtures, design and decor of the Restaurants to meet the then existing specifications and standards of Franchisor.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, a franchisee seeking to renew their franchise agreement must pay a renewal fee. This renewal fee is equal to fifty percent (50%) of the then-current initial franchise fee. This fee is in lieu of paying the full initial franchise fee again.
However, the franchisee must also meet several conditions to be eligible for renewal. These conditions include not being in default at any time during the original term of the franchise agreement, even if the default was later resolved. The franchisee must also not be a lessee under a lease agreement with the franchisor, although the franchisor retains the discretion to waive this requirement.
Additionally, the franchisee must execute the franchisor's current form of franchise agreement, along with all other customary legal documents, which may differ significantly from the original agreement. The franchisee must also maintain possession of the premises and upgrade the restaurant's equipment, fixtures, design, and decor to meet the franchisor's then-existing standards. Meeting these conditions and paying the renewal fee are necessary steps for a Bananas Smoothies Frozen Yogurt franchisee to continue operating under the brand.