factual

For Bonchon, is the customer responsible for all taxes, surcharges, fees, and assessments related to the services?

Bonchon Franchise · 2025 FDD

Answer from 2025 FDD Document

In addition to all other payments under this Agreement, you agree to pay us or our affiliates immediately upon demand: (a) all sales taxes, trademark license taxes and any other taxes, imposed on, required to be collected, or paid by us or our affiliates (excluding any corporate income taxes imposed on us or our affiliates) because we or our affiliates have furnished services or products to you, collected any fee from you, collected any fee from you, licensed our Proprietary Marks to you and/or entered into this Agreement with you; (b) all amounts we advance, pay or become obligated to pay on your behalf for any reason; (c) all amounts you owe us or our affiliates for products or services that you purchase from us or our affiliates; and (d) all amounts you owe us or our affiliates for programs, products or services that you purchase from us or our affiliates.

Source: Item 23 — RECEIPTS (FDD pages 92–536)

What This Means (2025 FDD)

According to Bonchon's 2025 Franchise Disclosure Document, franchisees are responsible for specific taxes related to the services and products they receive from Bonchon. Franchisees must pay all sales taxes, trademark license taxes, and any other taxes that Bonchon or its affiliates are required to collect or pay because they furnished services or products to the franchisee, collected fees from the franchisee, licensed proprietary marks to the franchisee, and/or entered into the Franchise Agreement with the franchisee. This excludes corporate income taxes imposed on Bonchon or its affiliates.

This means that as a Bonchon franchisee, you will be billed for and must remit all applicable taxes on the services, products, and rights you receive from Bonchon. This is in addition to all other payments required under the Franchise Agreement. The franchisee is responsible for these taxes immediately upon demand from Bonchon or its affiliates.

This type of tax obligation is standard in franchising, where franchisees typically bear the burden of taxes associated with their specific business operations and the franchisor's support. Franchisees should factor these tax liabilities into their financial planning and ensure they understand which taxes they are responsible for paying to Bonchon.

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.