Under what circumstances is the initial franchise fee for Burneys Sweets More refundable?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
The initial franchise fee to open a BURNEY'S SWEETS & MORE Shop is $20,000. This initial franchise fee includes training for you (or, if you are a corporate entity, for one of your principals) and your manager at our training facility. The initial franchise fee also includes one terminal for the approved point-of-sale system. The initial franchise fee is payable in lump sum and is due and fully earned at the time you sign the franchise agreement and is not refundable
under any circumstances. During our last fiscal year, our initial franchise fee was uniformly applied.
Source: Item 5 — INITIAL FEES (FDD pages 10–11)
What This Means (2025 FDD)
According to Burneys Sweets More's 2025 Franchise Disclosure Document, the initial franchise fee of $20,000 is not refundable under any circumstances. This fee is payable in a lump sum when the franchise agreement is signed and is considered fully earned at that time by Burneys Sweets More. The initial franchise fee covers training for the franchisee (or a principal if the franchisee is a corporation) and their manager at the Burneys Sweets More training facility, as well as one terminal for the approved point-of-sale system.
This non-refundable policy means that a prospective Burneys Sweets More franchisee should be certain about their decision before signing the franchise agreement, as they will not be able to recover the $20,000 initial fee, even if they later decide not to proceed with opening a location. This is a fairly standard practice in the franchise industry, as the initial fee is intended to compensate the franchisor for the initial services and resources provided to the franchisee, such as training and site selection assistance.
Given this policy, it is crucial for potential Burneys Sweets More franchisees to conduct thorough due diligence before signing the franchise agreement. This includes carefully reviewing the FDD, speaking with existing franchisees, and seeking professional advice from an attorney and financial advisor. Understanding the terms of the franchise agreement and the franchisor's policies is essential to making an informed decision and avoiding potential financial losses.