factual

Under what circumstances is the transfer fee waived when transferring a Brueggers Bagels franchise?

Brueggers_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

The transfer fee will not apply if the transfer is to a corporation or other business entity you form solely for the convenience of ownership.

Source: Item 6 — OTHER FEES (FDD pages 13–18)

What This Means (2025 FDD)

According to Brueggers Bagels' 2025 Franchise Disclosure Document, the transfer fee is waived if the transfer is to a corporation or other business entity the franchisee forms solely for the convenience of ownership. This means that if a franchisee incorporates their Brueggers Bagels business for legal or tax reasons, the standard transfer fee will not apply.

This waiver is a benefit to Brueggers Bagels franchisees as it allows them to restructure their business for administrative purposes without incurring additional costs. Forming a corporation can offer liability protection and tax advantages, and this policy encourages franchisees to take such steps without financial penalty.

It is important to note that this waiver only applies when the entity is formed solely for the convenience of ownership. Any transfer to an existing corporation or business entity that is not solely created for ownership convenience would likely be subject to the standard transfer fee, as outlined elsewhere in the FDD.

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.