Does the Beauty Bungalows transfer fee apply per location?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
r your site selection efforts. | | Transfer Fee (Franchise Agreement) (Note 6) | $5,000 plus any broker fees associated with the transfer or sale, per location. | Prior to acceptance of transfer. You must pay us a $1,000 non refundable deposit due at the time of application. The remaining balance is due at the time of approval of the transfer. | Payable before you sell your franchise. | | Type of Fee | Amount | Due Date | Remarks | |-----------------------|--------------------------------------------------|------------------------------------------|----------------------------------------------------------------------------------| | Transfer Fee | $5,000 plus any | Prior to acceptance of | This fee is paya
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2025 FDD)
According to Beauty Bungalows's 2025 Franchise Disclosure Document, the transfer fee does apply per location. The standard transfer fee is $5,000, in addition to any broker fees associated with the transfer or sale of the franchise. A $1,000 non-refundable deposit is due at the time of application for the transfer, with the remaining balance due upon approval of the transfer.
This means that if a Beauty Bungalows franchisee owns multiple locations and wishes to sell or transfer them, they will incur this $5,000 transfer fee for each individual location being transferred. This can become a significant expense for franchisees with multiple units. It is important to note that this fee is payable before the sale of the franchise is completed.
Franchise transfer fees are common in the franchise industry, but the amount can vary widely. Prospective Beauty Bungalows franchisees should factor this potential cost into their financial planning, especially if they anticipate selling or transferring their franchise in the future. Understanding the terms and conditions surrounding franchise transfers is crucial for making informed business decisions.