How is the Development Fee calculated for a Big Apple Bagels developer?

According to Big Apple Bagels' 2025 Franchise Disclosure Document, the Development Fee is calculated by multiplying the aggregate Minimum Development Quota by $5,000. The FDD indicates that the estimates provided are based on a Minimum Development Quota ranging from 2 to 10 stores.

For a prospective Big Apple Bagels developer, this means the initial Development Fee will depend directly on the number of stores they commit to developing under the Area Development Agreement. For example, if the Minimum Development Quota is 2 stores, the Development Fee would be $10,000 (2 stores x $5,000). If the quota is 10 stores, the fee would be $50,000 (10 stores x $5,000).

It's important to note that this Development Fee is separate from the Initial Franchise Fees, which are paid for each individual Big Apple Bagels store as it opens. The FDD specifies that the Development Fee is paid when signing the Area Development Agreement with Big Apple Bagels. The estimated range for the Development Fee is $5,000 to $45,000, depending on the number of stores in the development agreement.