How is the Transfer Fee calculated for a Bens Soft Pretzels franchise?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Transfer Fee | One-half of the then current initial franchise fee for a non-discounted first franchise; as well as any third-party broker fees that are due in connection with the proposed transfer. | At time of transfer. | If you transfer your franchise to your corporation or limited liability company or partnership, we charge for our legal expenses and related costs, but no transfer fee is due. |
Source: Item 6 — OTHER FEES (FDD pages 12–16)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, the transfer fee is calculated as one-half of the then-current initial franchise fee for a non-discounted first franchise. In addition to this, the franchisee is responsible for any third-party broker fees that are due in connection with the proposed transfer. This fee is due at the time of the transfer.
However, there is an exception to the transfer fee. If a franchisee transfers their Bens Soft Pretzels franchise to their corporation, limited liability company, or partnership, they will only be charged for legal expenses and related costs incurred by Bens Soft Pretzels, and no transfer fee will be due.
Prospective franchisees should be aware of these transfer fee implications, as they can significantly impact the costs associated with selling their franchise in the future. It is important to understand the current initial franchise fee and to factor in potential broker fees when considering a transfer. The exception for transfers to business entities provides some flexibility, but legal expenses should still be anticipated.