When is the reimbursement of local or state license fees due for Big Apple Bagels franchisees?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Reimbursement of Local or State License Fees | Costs | 30 days after billing. | Payable if BAB pays for licenses required by the Franchise Agreement when you fail to do so. |
Source: Item 6 — OTHER FEES (FDD pages 21–25)
What This Means (2025 FDD)
According to Big Apple Bagels's 2025 Franchise Disclosure Document, franchisees are required to reimburse Big Apple Bagels for local or state license fees 30 days after billing. This reimbursement is only applicable if Big Apple Bagels pays for licenses that the franchisee is required to obtain under the Franchise Agreement but fails to do so themselves.
This means that if a Big Apple Bagels franchisee neglects to acquire the necessary local or state licenses, Big Apple Bagels may step in to secure these licenses on the franchisee's behalf. The franchisee is then obligated to cover the costs incurred by Big Apple Bagels for obtaining these licenses.
The due date for this reimbursement is set at 30 days following the date that Big Apple Bagels issues a bill to the franchisee for the license fees. This arrangement ensures that Big Apple Bagels is compensated for covering the franchisee's licensing obligations, while also placing the responsibility on the franchisee to maintain compliance with local and state regulations.