What is the non-refundable initial franchise fee for a Bang Cookies franchise?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchise Agreement
When you sign a Franchise Agreement you will pay to us a non-refundable initial franchise fee in the amount of $55,000 (the "Initial Franchise Fee"). The Initial Franchise Fee is fully earned by us upon payment. The method we use to calculate the Initial Franchise Fee is uniform for all franchises that we offer through this Disclosure Document, except, as described below, we offer a veteran's discount and multiterritory discount.
Veteran's Discount
For qualified individuals who were honorably discharged from any branch of the United States Military the Initial Franchise Fee for the first / initial Operating Territory franchise is discounted by 10%. This discount must be requested at the time of your initial franchise application and requires documented military service.
Opening Inventory
You must purchase your opening inventory of certain System Supplies from us or our affiliate. We estimate that your initial opening inventory of System Supplies that you must purchase from us or our affiliates will range between $18,000 to $40,000. Your initial opening inventory fees will be fully earned by us upon payment and are non-refundable.
Source: Item 5 — INITIAL FEES (FDD pages 11–13)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, the standard initial franchise fee is $55,000. This fee is non-refundable and is payable when signing the Franchise Agreement. Bang Cookies considers this fee fully earned upon payment. This fee provides the franchisee the right to operate a Bang Cookies shop.
Bang Cookies offers a discount on the initial franchise fee for qualified veterans who were honorably discharged from the United States Military. This discount is 10% off the initial franchise fee for the first operating territory franchise. To qualify, the discount must be requested at the time of the initial franchise application and requires documented military service.
For franchisees who sign a Multi-Unit Development Agreement, they must pay a fixed, non-refundable development area fee of $35,000 for each shop, excluding the first shop authorized by the Franchise Agreement. This fee is in addition to the initial franchise fee. However, franchisees entering into a Multi-Unit Development Agreement will not be required to pay an additional initial franchise fee for each additional shop beyond the first one.