Is the Bhc Transfer Review Fee refundable?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
e notifies Franchisor of Master Franchisee's intent to sell, transfer, or assign the Franchise, all or substantially all of the assets of the BHC Restaurant, or a controlling or non-controlling interest in Master
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the Transfer Review Fee is non-refundable. Specifically, the FDD states that a franchisee must pay a non-refundable "Transfer Review Fee" of $5,000.00, or such greater amount as is necessary to reimburse Bhc's out of pocket costs associated with the transfer/assignment, including attorneys' fees. This fee is paid when a franchisee seeks to transfer their franchise to a new owner.
This means that if a Bhc franchisee decides to sell or transfer their franchise, they will be required to pay this fee to Bhc to cover the costs associated with reviewing and approving the transfer. Even if the transfer is not ultimately approved, the franchisee will not receive a refund of this $5,000.00 fee, or any amount exceeding that which was necessary to reimburse Bhc's costs.
Franchisees should factor this non-refundable fee into their financial planning when considering a potential sale or transfer of their Bhc franchise. It is important to understand that this fee is in addition to any other costs associated with the transfer process, such as legal fees or broker fees. Franchisees should also be aware that the fee could exceed $5,000 if Bhc's costs associated with the transfer are higher.