If I sell my Buns On Fire franchise, is a transfer fee payable?

Question

Accepted Answer

bona fide refunds actually paid to customers.

			between 1% and 2% of Gross Revenue.
Insurance	Cost of procuring insurance for you.	If incurred.	If you do not provide proof of insurance for your Franchise Business, we may procure it on your behalf and charge you the cost of procuring this insurance, including an administrative fee of $2,500 payable to us.
Transfer Fee	50% of the then current initial franchise fee.	Prior to consummation of the transfer.	Payable if you sell your franchise.
Audit Fee	Cost of the audit if we discover you have under reported by more than 5%.	Upon demand.
Interest on Late Payments	A late fee of not less than $30 per day while an amount is overdue.	Upon demand.	Payable on all overdue amounts.
Additional Onsite Training	Our then-current additional training fee (currently $25 per hour per instructor if at BoF Buffalo Grove or BoF Glendale Heights or $45 per hour per instructor at your Buns on Fire Restaurant) plus our expenses (including travel/airfare and hotel expenses if at your Buns on Fire Restaurant).	When required	Additional periodic refresher or supplemental training as required by the Franchise Agreement (and franchisee performance)
Renewal Fee	25% of the then current	Prior to execution of the	Payable if you renew your
	initial franchise fee.	renewal documents.	franchise.
Prohibited Product or Service Fee	$250 per day of use of unauthorized products or services.	If incurred.	In addition to other remedies available to us.
Costs and Attorneys' Fees	Will vary under circumstances	Upon request.	If you default under a franchise or Area Development Agreement, you must reimburse us for the expenses we incur (such as attorneys' fees) in enforcing and/or terminating the agreement.
Securities Offering	Will vary under circumstances	Upon request	If you propose to make an offering of any securities, you must reimburse us for our reasonable costs (including attorneys' fees and accounting fees) in
Indemnification	Will vary under circumstances	Upon request	offering. You must reimburse us for the costs we incur if we are sued or held liable for claims that arise from your operation of the Franchise Business or in connection with any offer of your securities, or for costs associated with defending claims that you used the trademarks in an unauthorized manner.
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Non-Compliance Fine	$500 for the first violation if not corrected in 7 days; additional $1,000 if violation is not corrected within 30 days; additional $3,000 if violation is not corrected within 60 days	If incurred	In addition to other remedies available to us.
Refurbishment of Franchise Business	Not to exceed $75,000.	Not more than once every five years	We may require you to refurbish your Franchise Business to meet our thencurrent image for all restaurants in the System.
Supplier or Product	Actual costs	At time of inspection	Applies to new suppliers or supplies you wish to purchase that we have not approved. This fee is paid to third party vendors or to reimburse us if we have paid to third party vendors.
Testing
Application Service	To be determined	Per month	This will be paid to a third party that provides leased software and warehouse storage for sales records. There may also be fees required to be paid directly to POS provider.
Provider Fees
Violation of Non-	$500 per week	As incurred	If you violate the covenant not to compete in the Franchise Agreement.
competition Covenant
Promotional Expenses	Varies	As incurred	You may be required to participate in System-wide promotional programs that we may develop that may include providing promotional food items to guests as part of the program(s).
Gift Cards	To be determined if program	As incurred	If implemented, you must participate in our Gift
	implemented		Card program, which we
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			or a third party may
			administer.
			Liquidated Damages equal
			to the average monthly
			royalties that you paid us
		If we terminate the	during the 12 months
Liquidated Damages	Varies	Franchise Agreement for	preceding termination
		cause	multiplied by 24 or the
			number of months
			remaining in your franchise
			term, whichever is higher.
		If you request permission	This covers our costs
Relocation Fee	S2,500	to relocate your Franchise	related to your relocation
		Business	request.

ITEM 7: ESTIMATED INITIAL INVESTMENT

Liquidated Damages	Varies	If we terminate the Franchise Agreement for cause	Liquidated Damages equal to the average monthly royalties that you paid us during the 12 months preceding termination multiplied by 24 or the number of months remaining in your franchise term, whichever is higher.
Relocation Fee	S2,500	If you request permission to relocate your Franchise Business	This covers our costs related to your relocation request.

Source: Item 6 — OTHER FEES (FDD pages 12–16)

If I sell my Buns On Fire franchise, is a transfer fee payable?

Answer from 2025 FDD Document

What This Means (2025 FDD)