When is the Bonchon initial franchise fee of $35,000 due?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
| (1) Type of expenditure | (2) Amount | (3) Method of payment | (4) When due | (5) To whom payment is to be made |
|---|---|---|---|---|
| Initial Franchise Fee | $35,000 See Item 5 and Note 1 | Lump Sum | At signing of Franchise Agreement | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT YOUR ESTIMATED INITIAL INVESTMENT\ (FDD pages 24–37)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the initial franchise fee of $35,000 is due at the signing of the Franchise Agreement. This is a lump sum payment made directly to Bonchon.
For franchisees entering into an Area Development Agreement, the timing of payments is slightly different. The Area Development Fee, which includes the initial franchise fee for the first Bonchon Business, is paid in full when the Area Development Agreement is signed. This fee also includes a deposit of $10,000 for each subsequent Bonchon Business the franchisee intends to develop.
It's important to note that the initial franchise fee is generally non-refundable, so prospective franchisees should carefully consider their decision before signing the Franchise Agreement. However, the Area Development Deposit paid for a Bonchon Business will be applied as a credit against the Initial Franchise Fee at the time the Franchise Agreement for that particular Business is signed.