What is the Burneys Sweets More transfer fee?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
| Name of Fee1 | Amount | Due Date | Remarks |
|---|---|---|---|
| Refurbishing Reimbursement | Our costs and expenses plus 15%. | Upon demand | If we must undertake any refurbishing work on your behalf, you will pay us our costs and expenses and an administrative fee of 15% for the total aggregate amount incurred by us. Additional interest will apply to any late payment of reimbursement. |
| Customer Complaint Fee | Our costs and expenses. | Upon demand. | If a customer complains to us and you fail to satisfactorily remedy the complaint, you will pay us our costs to respond to the complaint. |
| Default Damages | Damages, costs, losses, and expenses, | As incurred. | You must promptly reimburse us for any damages, costs, losses, and expenses, including reasonable attorneys' fees, we incur as a result of any default under the Franchise Agreement. |
| Liquidated damages | An amount equal to royalty fees and marketing fund contributions for the lesser of (i) 2 years or (ii) the remaining weeks of the franchise term. | On demand | Payable if we terminate your franchise agreement because of your default, or if you terminate the franchise agreement without the right to do so. |
| Transfer Damages | 15% of the price paid by the transferee or $25,000, whichever is greater. | Within 15 days of our demand. | Due only if you breach your transfer obligations to us. These are liquidated damages and not a penalty. |
Source: Item 6 — OTHER FEES (FDD pages 11–17)
What This Means (2025 FDD)
According to the 2025 Burneys Sweets More Franchise Disclosure Document, a transfer fee is not listed. However, there is a 'Transfer Damages' fee listed in Item 6, 'Other Fees'. This fee is 15% of the price paid by the transferee or $25,000, whichever is greater.
This 'Transfer Damages' fee is only due if a franchisee breaches their transfer obligations to Burneys Sweets More. The FDD specifies that this fee is considered liquidated damages and not a penalty.
Prospective franchisees should carefully review the specific transfer obligations outlined in the Burneys Sweets More franchise agreement to understand the conditions under which this 'Transfer Damages' fee would be assessed. It is important to understand what constitutes a breach of transfer obligations and how the fee is calculated, especially considering the significant amount of either 15% of the transfer price or $25,000.