For additional Buona franchises after the first, what is the discounted initial franchise fee?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
nd Keystone Planning + Design, PLLC.
Area Development Fee
If you are a Developer, you must sign the Franchise Agreement for your first Buona franchise and pay the initial franchise fee for the first franchise to be developed at the same time as you sign the Area Development Agreement. In addition, you must pay a non-refundable Development Fee when you sign the Area Development Agreement. The Development Fee is one-half of the initial franchise fees that will be due for the additional The Buona Businesses to be developed. The franchise fee for the additional franchises after the first franchise will be discounted by 20%, so the initial franchise fee paid for the additional franchises would be $32,000.
When you sign the Franchise Agreement for the additional franchises, $16,000 of the Development Fee paid will be applied against the initial franchise fe
Source: Item 5 — INITIAL FRANCHISE FEE (FDD pages 14–15)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the initial franchise fee for additional Buona franchises after the first is $32,000. This discount is part of the Area Development Agreement, where developers commit to opening multiple locations. The standard initial franchise fee for a single Buona Business is $40,000.
The discounted fee is contingent on the franchisee meeting the development schedule outlined in the Area Development Agreement. Should the franchisee fail to adhere to this schedule, they will be required to pay the then-current initial franchise fees for any subsequent restaurant franchises. For example, if a franchisee agrees to develop three single-brand franchises but misses the development schedule before signing the agreement for the second franchise, they would need to pay an additional $48,000 in initial franchise fees for the second and third franchises. This additional fee is calculated as the difference between the standard fee ($40,000) and the discounted fee ($32,000), multiplied by the number of franchises, less the amount already credited from the Development Fee.
Furthermore, $16,000 of the non-refundable Development Fee paid when signing the Area Development Agreement will be applied against the initial franchise fee for each additional franchise. Therefore, upon signing the Franchise Agreement for each additional franchise, the franchisee will only need to pay the remaining balance of $16,000. This structure incentivizes developers to maintain their development schedule and ensures Buona's continued growth.