When is the Successor Agreement Fee due for a Bb.Q Chicken franchise?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
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| (1) | (2) | (3) | (4) |
|---|---|---|---|
| Fees (1) | Amount | Due Date | Remarks amount owed, we may terminate the Franchise Agreement. |
| Prohibited Product or | $500 each infraction | If incurred | In addition to other remedies available to us, you must pay this fine to us each time we cite you for use of prohibited products and/or services including, but not limited to, use of unapproved third-party delivery services, sales made through the internet or from a location other than your Restaurant or Food Truck, or sales of unapproved food or beverage products, or unapproved novelty items, clothing, and souvenirs. |
| Service Fine | |||
| Transfer Fee (Franchise Agreement) | 100% of our then- current initial franchise fee for a single unit franchise. | Upon completion of the transfer | No fee charged for a one- time transfer from individual(s) to a corporate entity formed for convenience of ownership of the franchise |
| Transfer Fee (Multi- Unit Operator Agreement) | $1,000 multiplied by the number of Franchised Businesses to be developed under the Multi-Unit Operator Agreement. | Upon completion of the transfer | Payable to us. See Item 17. |
| Successor Agreement Fee | 100% of our then- current initial franchise fee for a single unit franchise | Upon signing of successor Franchise Agreement | Payable to us. See Item 17. |
| Relocation Fee | 100% of our then- current initial franchise fee for a single unit franchise | With request for approval of relocation | Payable to us if you request to relocate your Restaurant outside the boundaries of your designated territory. |
| Inspection / Product | Reimbursement of our actual costs and travel expenses, (but not more than $1,500) | On demand | Payable if you request that we evaluate a product or supplier that we have not previously approved and that you want to use for your Restaurant or Food Truck. |
| and Supplier | |||
| Evaluation | |||
| Liquidated Damages | See |
Source: Item 6 — OTHER FEES (FDD pages 15–21)
What This Means (2025 FDD)
According to Bb.Q Chicken's 2025 Franchise Disclosure Document, the Successor Agreement Fee is due upon the signing of the successor Franchise Agreement. This fee is 100% of the then-current initial franchise fee for a single unit franchise.
In practical terms, this means that if a franchisee decides to renew their franchise agreement with Bb.Q Chicken, they will be required to pay a fee equivalent to the initial franchise fee at the time of renewal. This could be a substantial cost, and franchisees should factor this into their long-term financial planning.
It is important for prospective franchisees to understand that the initial franchise fee can change over time, so the Successor Agreement Fee could be higher or lower than the initial fee they paid when they first opened their Bb.Q Chicken franchise. Franchisees should also be aware that this fee is payable to Bb.Q Chicken directly.