When is the grand opening marketing expenditure due for a Bhc restaurant?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
L INVESTMENT: First Affiliate Franchised BHC Restaurant**
| Type of | Amount** | Method of | When Due | To Whom Payment |
|---|---|---|---|---|
| Expenditure | Payment | Is to | ||
| (1) | Be Made | |||
| Initial Franchise | $40,000 | Lump sum; | At signing of MFA | Franchisor |
| Fee (2) | non-refundable | |||
| Initial Deposit | $20,000 | Lump sum; refundable at expiration of Franchise Agreement | At signing of MFA. | Franchisor |
| Type of Expenditure (1) | Amount** | Method of Payment | When Due | To Whom Payment Is to Be Made |
| ---------------------------------------------------------- | ----------------------------- | --------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------- |
| Inspection Fee | $600 | Immediately upon our demand after leasehold improvement | We will make three (3) on-site visits to the Master Franchised BHC Restaurant before opening for inspection, which include a complete a final "walk through" inspection of the Master Franchised BHC Restaurant without you incurring additional fees. Any deficiencies noted by us because of our inspection must be corrected by you within 30 days or this Agreement may be terminated without any liability to us. If we provide any additional on-site visits after the third (3rd) time, you must reimburse us for the Actual Costs of each individual on-site visit. | Franchisor |
| Grand Opening | $10,000 to | Lump sum; | During the first 60 days | Advertisers and |
| Ma |
Source: Item 7 — Estimated Initial Investment: (FDD pages 18–25)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the grand opening marketing expenditure, which ranges from $10,000 to $13,000, is due during the first 60 days of opening. This payment is made in a lump sum and is non-refundable.
This means that as a prospective Bhc franchisee, you must allocate between $10,000 and $13,000 for marketing activities related to the grand opening of your restaurant. These funds are to be paid to advertisers and vendors within the initial 60 days of operation. It is important to note that this payment is non-refundable, regardless of the success of the grand opening or any unforeseen circumstances.
Grand opening marketing is a critical component of launching a new franchise, and Bhc requires this investment to ensure brand visibility and attract initial customers. Franchisees should work closely with Bhc and approved vendors to develop a comprehensive marketing plan that maximizes the impact of this expenditure within the specified timeframe. Understanding the non-refundable nature of this payment is crucial for financial planning and risk assessment.