Does the Beauty Bungalows Transfer Fee include broker fees?
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 payable for each | | | | | location | | (Development | broker fees associated | transfer.
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 include broker fees. Specifically, the standard Transfer Fee is $5,000, but the franchisee must also pay any broker fees associated with the transfer or sale of the franchise.
This means that in addition to the $5,000 transfer fee, a Beauty Bungalows franchisee selling their business will also be responsible for covering any fees charged by a broker who assists with the transaction. These broker fees are paid prior to the acceptance of the transfer. A non-refundable deposit of $1,000 is due at the time of application for the transfer, with the remaining balance due upon approval of the transfer.
Prospective franchisees should consider that broker fees can vary significantly depending on the broker's experience, the complexity of the transaction, and the market conditions. It would be prudent for a franchisee considering a transfer to obtain estimates from several brokers to understand the potential costs involved, in addition to the $5,000 transfer fee payable to Beauty Bungalows.