Besides the Development Area Fee, what other fees must a Bang Cookies franchisee pay?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
| Multi-Unit Development Agreement – Schedule A DEVELOPMENT INFORMATION SHEET | |||
|---|---|---|---|
| Jersey 07072, (the "Franchisor") and(the "Franchisee"). | This Development Information Sheet is attached to, is incorporated into, and forms a part of the Bang Cookies Multi-Unit Development Agreement between Bang Cookies Franchise LLC, a New Jersey limited liability company with a principal place of business located at 550 Industrial Road, Unit D, Carlstadt, New | ||
| Sheet. | Defined terms shall have the meanings set forth in the Bang Cookies Multi-Unit Development Agreement between Franchisor and Franchisee and are further defined and set forth in this Development Information | ||
| each Owner of Franchisee: | If Franchisee is a Corporate Entity, Franchisee represents and affirms to Franchisor that the following is a list of | ||
| Owner Name | Owner Address | Ownership Interest Percentage | |
| Development Area Fee | Total Development Shops | ||
| $ | [] | ||
| Development Area | [To be Effective this Schedule Must be Completed and Signed by Franchisor] | ||
| Development Shop Initial Franchise Fee for the First Development Shop |
Development Shop Initial Franchise Fee for Other Development Shops
Shop. This initial franchise fee is separate from and in addition to the Development Area Fee.
OTHER AUTHORIZED DEVELOPMENT SHOPS: Provided that Franchisee is not in default of the terms of this Bang Cookies Multi-Unit Development Agreement (including but not limited to the Development Schedule set forth below) and that neither Franchisee nor Franchisee's affiliates are in default of any Franchise Agreement
FIRST DEVELOPMENT SHOP: The Development Shop Initial Franchise Fee for the First Development Shop is: $35,000, payable and due upon execution of the applicable Franchise Agreement for the First Development
or other agreement with Franchisor, the Development Shop Initial Franchise Fee for each additional Development Shop (over and above the First Development Shop), is: $0 (Waived), payable at the time of signing the Franchise Agreement for each Development Shop.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, franchisees must pay several fees in addition to the Development Area Fee. Specifically, franchisees pay an initial franchise fee for each Bang Cookies shop. The initial franchise fee for the first development shop is $35,000. However, the initial franchise fee is waived ($0) for each additional development shop beyond the first, provided the franchisee is not in default of the Multi-Unit Development Agreement.
Bang Cookies franchisees must also pay royalty fees and other fees as outlined in the Franchise Agreement. Additionally, franchisees are required to contribute to the Brand Development Fund.
Another fee that a Bang Cookies franchisee may encounter is a Transfer Fee of $15,000, payable to Bang Cookies, should the franchisee decide to transfer ownership of their franchise. This fee is required unless the franchisee has met specific requirements within the five years immediately preceding the transfer.