Where are occupancy and construction permits included in the Baya Bar franchise estimates?

According to the 2024 Baya Bar Franchise Disclosure Document, the costs for occupancy and construction permits are included within the leasehold improvements estimate. The overall estimate for leasehold improvements ranges from $34,750 to $118,760. These figures encompass various pre-construction expenses, such as demolition and removal of existing fixtures, as well as the costs of materials and labor. The wide range in cost is due to factors such as the size and configuration of the premises, local market conditions, and whether the landlord contributes to these improvements.

The FDD notes that the low end of the leasehold improvement estimate assumes the space was previously a restaurant, while the high end assumes a vanilla box space requiring more extensive work. The document also clarifies that any tenant improvement allowance that may be negotiated is not included in the estimate. Given the variability in these costs, Baya Bar recommends that prospective franchisees verify the costs for all required licenses and permits in their specific jurisdiction before signing the Franchise Agreement.

Business licenses and permits are listed separately with an estimated cost between $2,000 and $5,000. However, the FDD specifically states that the occupancy and construction permits are accounted for within the leasehold improvements line item. This means franchisees should carefully consider the scope of work needed to prepare their chosen location and factor in the costs of obtaining the necessary permits as part of their overall build-out budget.