When must the initial franchise fee be paid to Bb.Q Chicken?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
INITIAL FEES
Franchise Agreement: You must pay us an initial franchise fee of $45,000 for the right to establish a single Franchised Business under a Franchise Agreement. You must pay the initial franchise fee in full when you sign the Franchise Agreement. This fee is used in part for working capital and in part for profit. The initial franchise fee is imposed uniformly on all franchisees and is not refundable under any circumstances.
In addition to the initial franchise fee, and development fee (if you sign a Multi-Unit Operator Agreement), the following initial fees will be paid to us or our affiliates before the opening of your Franchised Business. These initial fees are outlined in detail below the table.
| Franchise Opportunity | Range of Initial Fess | |---|---| | bb.q Chicken quick service restaurant | $112,000to $199,000 | | bb.q Chicken essential restaurant | $111,000to$148,000 | | bb.q Chicken food truck franchise | $111,000to$148,000 |
Grand Opening Marketing: You must conduct a grand opening marketing campaign that includes the elements we require. You must spend at least $10,000 on your grand opening marketing campaign. At our request, you must give the grand opening marketing money to us and we will conduct the grand opening marketing campaign on your behalf. If we collect this money from you, it is not refundable.
Equipment: You must pay us $50,000 to $130,000 if you will own a Restaurant, or $50,000 to $80,000 if you will own an essential Restaurant or Food Truck, for all equipment used in the operation of your Restaurant. We will purchase your equipment for you from the suppliers we designate. This fee is not refundable.
Point-of-Sale (POS) System: You must pay us $4,000 to $8,000 for the POS System we require you to use at your Franchised Business. We will purchase the hardware for the POS System for you from the approved supplier. This fee is not refundable.
Opening Materials: You must pay us $3,000 to $6,000 if you will own a Restaurant, or $2,000 to $5,000 if you will own an essential Restaurant or Food Truck, for various printed materials needed for interior, marketing, and operation of your Restaurant. This fee is not refundable.
During our fiscal year ended December 31, 2024, we waived 2 initial franchise fees. We discounted franchise fees for 32 franchisees, between 13% and 57%. No other franchise fees were discounted or waived in 2024.
From time to time we may offer special incentive programs as part of our franchise development activities. We currently offer an incentive program where we will discount the initial franchise fee by 30% for veterans and active-duty military personnel for the first Franchised Business purchased. We have the right to offer, modify or withdraw any incentive program without notice to you. The initial franchise fee is imposed uniformly on all franchisees and is not refundable under any circumstances.
Source: Item 5 — INITIAL FEES (FDD pages 13–15)
What This Means (2025 FDD)
According to Bb.Q Chicken's 2025 Franchise Disclosure Document, the initial franchise fee of $45,000 is due in full when the franchisee signs the Franchise Agreement. This fee grants the right to establish a single franchised business. Bb.Q Chicken uses this fee for working capital and profit. The initial franchise fee applies uniformly to all franchisees.
For franchisees pursuing a Multi-Unit Operator Agreement, a development fee is required, calculated as 100% of the initial franchise fee for each restaurant or food truck the franchisee commits to develop. The initial franchise fee for each unit under this agreement is $50,000. For example, committing to the minimum of three units results in a $150,000 development fee. When the franchisee signs the Franchise Agreement for the first restaurant or food truck, they do so at the same time as signing the Multi-Unit Operator Agreement. A portion of the development fee will be applied to cover the initial franchise fee for each subsequent restaurant or food truck as their individual Franchise Agreements are signed.
It is important to note that the initial franchise fee and development fee are non-refundable under any circumstances. Bb.Q Chicken may, from time to time, offer special incentive programs, such as a 30% discount on the initial franchise fee for veterans and active-duty military personnel for their first franchise. However, Bb.Q Chicken retains the right to modify or withdraw any incentive program without prior notice.
In addition to the initial franchise fee, franchisees should be aware of other initial fees payable before opening their Bb.Q Chicken franchise. These include costs for equipment ($50,000 to $130,000 for a restaurant, or $50,000 to $80,000 for an essential restaurant or food truck), a Point-of-Sale (POS) system ($4,000 to $8,000), and opening materials ($3,000 to $6,000 for a restaurant, or $2,000 to $5,000 for an essential restaurant or food truck).