factual

How long is the Burros Fries training program included in the initial franchise fee?

Burros_Fries Franchise · 2024 FDD

Answer from 2024 FDD Document

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The Initial Franchise Fee for a single area Franchise ("Initial Franchise Fee") is $35,000 for the Franchised Business in a protected area. The protected area of a Franchise is determined once a specific location is identified and approved by us. The Initial Franchise Fee is payment, in part, for expenses incurred by us in furnishing assistance and services to you as set forth in the Franchise Agreement and for costs incurred by us, including general sales and marketing expenses, training, legal, accounting, other professional fees, news bulletins and templates for advertising materials to support your Business, a comprehensive training program at our corporate headquarters or on-site for approximately fourteen (14) days, which includes using the Operations Manual and providing assistance and guidance at your location for either pre-opening or grand opening assistance. You must purchase and maintain an inventory of product, supplies and kitchen equipment from our affiliates or our approved vendors and/or suppliers (as described in Item 8). You will be provided with a list of our approved vendors and/or suppliers during training. You will be provided with a written list of approved products, supplies, kitchen equipment and services you are authorized to use, offer and sell.

The Initial Franchise Fee is paid in a lump sum at the time the Franchise Agreement is signed and is deemed fully earned and nonrefundable upon payment per the terms of the Franchise Agreement as applicable except if an initial franchisee fee deferral is required.

Source: Item 5 — INITIAL FEES (FDD pages 11–12)

What This Means (2024 FDD)

According to Burros Fries's 2024 Franchise Disclosure Document, the initial franchise fee of $35,000 includes a comprehensive training program at the corporate headquarters or on-site for approximately fourteen (14) days. Item 22 further clarifies that the initial training program is fifty-two (52) days, provided without charge for the franchisee, a manager, and a key personnel. This training includes pre-opening and grand opening assistance. The training occurs no earlier than sixty (60) days prior to the anticipated opening of the Burros Fries business.

This means that as a Burros Fries franchisee, you, your manager, and a key personnel will receive comprehensive training, lasting approximately 52 days, as part of your initial franchise fee. This training is designed to equip you with the necessary skills and knowledge to operate your franchise effectively. The training covers various aspects of the business, including pre-opening preparations and grand opening strategies.

However, franchisees are responsible for covering their own expenses related to travel, accommodation, and food during the training period. It is also important to note that if any of the initially designated trainees fail to complete the program satisfactorily, the franchisee will bear the cost of training any replacements. Burros Fries may also require additional or advanced training from time to time, which may incur additional fees of up to $300 per person per half day, plus associated travel and accommodation costs.

While the initial training is included in the franchise fee, franchisees should budget for travel, lodging, and food expenses during the training period. Also, franchisees should be aware of the potential for additional training costs for replacement personnel or advanced training programs during the franchise term.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.