Under the 2025 Development Incentive Program, what is the initial franchise fee for a Bonchon restaurant?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
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| INCENTIVE PROGRAM | (this "Rider") supplements and amends that certain Area Development Agreement, dated as of (the "Area Development Agreement"), between Bonchon Franchise LLC ("Franchisor") and |
| ("Area Developer"). | This Rider is incorporated into the Area Development Agreement and is dated and effective as of the date of execution of the Area Development Agreement. In the event of any ambiguity or conflict between the terms of this Rider and the terms of the Area Development Agreement, the terms of this Rider shall control and prevail. All initial capitalized terms used but not defined in this Rider shall have the meanings given to those terms in the Area Development |
| Agreement. |
Background
Simultaneously with signing this Ri
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the initial franchise fee under the 2025 Development Incentive Program is $20,000. This incentive program is available to area developers who sign an area development agreement for a minimum of three restaurants on or before December 31, 2025.
For a Bonchon franchisee, this means a significantly reduced initial investment compared to the standard franchise fee. The standard initial franchise fee is $35,000, as detailed elsewhere in the FDD. This $15,000 reduction could make a Bonchon franchise more accessible to potential franchisees who qualify for the development incentive program.
However, to qualify for this reduced initial franchise fee, the franchisee must adhere to specific conditions, including opening their franchised restaurants no later than the scheduled opening dates outlined in the Area Development Agreement. Additionally, the franchisee must maintain full compliance with the Area Development Agreement and all other agreements with Bonchon and its affiliates. This ensures that the franchisee remains in good standing to receive the benefits of the incentive program.