factual

What was the total amount of franchise fees Black Bear Diner collected in 2023?

Black_Bear_Diner Franchise · 2025 FDD

Answer from 2025 FDD Document

United States of America. The following table provides additional information about the Companyowned and franchised restaurants operating as of December 27, 2023 and December 28, 2022:

2023 2022
Franchised restaurants 91 88
Company-owned restaurants 65 65
Total 156 153

The Company-owned restaurants are operated by Bear Tracks Holdings LLC (BTH), an entity under common control with the Company. The Company and BTH are owned by BBD Opco LLC (Parent). BBD Opco LLC is owned by BBD Intermediate Holdco, LLC (Intermediate) and for which Intermediate is ultimately owned by BBD Holdco LLC (Holdco).

The Company also operates a national advertising fund (NAF) which administers national, regional, and local advertising and marketing initiatives for the brand. The Company receives funds from Black

Source: Item 23 — RECEIPT (FDD pages 56–243)

What This Means (2025 FDD)

According to the 2025 Black Bear Diner Franchise Disclosure Document, the company reports on receipts, including reimbursements to its national advertising fund (NAF). For the year ending December 27, 2023, Black Bear Diner's reimbursements totaled $118,881. These reimbursements are related to the costs incurred in administering the NAF, and are netted within payroll and benefits expenses on the statements of income.

It is important to note that this figure represents reimbursements to the advertising fund, not the total franchise fees collected. The franchise agreement outlines several fees franchisees must pay, including an initial franchise fee, weekly royalty fees (4.5% of Gross Sales), and a marketing fund contribution (up to 3% of Gross Sales, currently set at 1%).

While the FDD mentions these various fees, it does not provide a total sum of all franchise fees collected by Black Bear Diner in 2023. A prospective franchisee would need to ask the franchisor directly for this information to understand the full scope of fee revenue.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.