When is the initial franchise fee due for a Burros Fries franchise?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Expenditure | Amount Low/High | Method of Payment | When Due | To Whom Payment is to be Made | |
|---|---|---|---|---|---|
| Initial Franchise Fee | $35,000 | $35,000 | Cash or Acceptable Funds | At signing of the Franchise Agreement. | Franchisor See Item 5 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT YOUR ESTIMATED INITIAL INVESTMENT (FDD pages 16–21)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, the initial franchise fee of $35,000 is due at the signing of the Franchise Agreement. This fee is payable to the franchisor in cash or acceptable funds.
For a prospective Burros Fries franchisee, this means that you must have $35,000 available when you sign the agreement to secure your rights to open a franchise. This is a standard practice in franchising, as the initial fee compensates the franchisor for granting the franchise and providing initial support and training.
It's important to note that, except for security deposits and utility deposits, this initial franchise fee is generally non-refundable. Therefore, a prospective franchisee should carefully consider all aspects of the franchise opportunity before signing the agreement and paying the fee.