What fee does a Brueggers Bagels licensee pay for an approved transfer of ownership?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
8.5.7. That the transferor pays a transfer fee of Five Thousand Dollars ($5,000)
16.5.7. That the transferor pays a transfer fee equal to 50% of the initial franchise fee we are then charging for new Bakery franchises.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, a transferor may have to pay a transfer fee to Brueggers Bagels for an approved transfer of ownership. According to section 8.5.7, the transferor pays a $5,000 transfer fee. However, section 16.5.7 states that the transferor pays a transfer fee equal to 50% of the initial franchise fee Brueggers Bagels is then charging for new Bakery franchises.
These fees are required to finalize the transfer of a Brueggers Bagels franchise to a new owner. It is important to note that the FDD provides two different amounts for the transfer fee.
A prospective franchisee should clarify with Brueggers Bagels which transfer fee applies, as the amount could significantly impact the financial implications of selling the franchise. Understanding the specific conditions and circumstances under which each fee applies is crucial for financial planning and decision-making.