When is the Buona relocation fee paid?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall pay to Franchisor a relocation fee in the amount of fifty percent (50%) of the then-current Initial Franchise Fee to cover Franchisor's services and associated costs in connection with such relocation, including those related to (i) reviewing and approving the new location and the construction drawings for the Franchised Business at its new location and (ii) providing additional on-site training and assistance. Franchisee shall pay fifty percent (50%) of the relocation fee when Franchisor grants the approval to relocate and the balance of the relocation fee upon Franchisor's acceptance of the new location for the Franchised Business.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, a franchisee must pay a relocation fee if they need to move their store. The relocation fee is equal to 50% of the then-current Initial Franchise Fee. This fee covers Buona's costs for services like approving the new location and construction drawings, and providing additional on-site training.
The relocation fee is paid in two installments. The franchisee must pay 50% of the relocation fee when Buona grants approval to relocate the franchise. The remaining balance of the relocation fee is due upon Buona's acceptance of the new location for the Franchised Business.
This means that a Buona franchisee needs to be prepared to pay this fee in two stages during the relocation process. This fee is in addition to the franchisee's sole expense for the relocation itself. The franchisee must also continue to pay royalties and marketing fund contributions based on their previous sales, even before the new location opens.