When is the Site Design Review Fee due for a Bhc franchise?
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 |
| Marketing | $13,000 | non-refundable | of opening | Vendors |
| Site Design Review Fee | $2,500 | Lump sum; non-refundable | Upon Submission of floor plan | Paid to Franchisor /vendors. |
| Site Review Fee | $2,000 to $4,000 | Lump sum; non-refundable | When Incurred | Franchisor |
| Architectural Design Development and Permitting | $15,000 to $30,000 | As arranged | When Incurred | Approved Architect / Designer/Engineer |
| Lease: Initial Rent | $7,000 to | As arranged | When Incurred | Landlord |
| / Deposits (3) | $20,000 | |||
| Leasehold improve |
Source: Item 7 — Estimated Initial Investment: (FDD pages 18–25)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the Site Design Review Fee of $2,500 is due upon submission of the floor plan. This fee is a lump sum payment and is non-refundable. The payment is made to Bhc or its vendors.
This means that as a prospective Bhc franchisee, you must pay this fee when you submit your restaurant's floor plan for review. This fee covers the cost of Bhc reviewing your proposed site design to ensure it meets their standards and specifications. Because the fee is non-refundable, it's important to ensure the floor plan is well-prepared and aligned with Bhc's requirements before submission.
Site design review fees are common in franchising, as franchisors want to ensure brand consistency and operational efficiency across all locations. The fee covers the franchisor's costs of reviewing and approving the franchisee's proposed site design. Franchisees should factor this fee into their initial investment costs and understand the franchisor's site design criteria to minimize the risk of revisions or delays.