What is the range for the estimated initial franchise fee for a Baya Bar franchise?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
YOUR ESTIMATED INITIAL INVESTMENT
| (1) | (2) | (3) | (4) | (5) |
|---|---|---|---|---|
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made |
| Initial Franchise Fee (1) | $35,000 | Lump Sum | When Franchise Agreement Signed | Us |
| 3 Months (2) | $6,500 | As arranged | As arranged | La |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 16–20)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, the initial franchise fee is $35,000. This fee is paid in a lump sum when the Franchise Agreement is signed and is payable to Baya Bar. This is a standard, non-refundable fee in franchising that grants the franchisee the right to operate under the Baya Bar brand and system.
For multi-unit developers, Baya Bar charges a development fee of $62,500, payable as a lump sum upon signing the Multi-Unit Development Agreement. This fee covers the development of three shops. If the developer commits to developing more than three shops, the development fee increases by $7,500 for each additional shop.
It is important to note that these fees are generally non-refundable. Prospective franchisees should factor these costs into their initial investment calculations and be prepared to pay them as required to secure their franchise or development rights with Baya Bar.