Does Burros Fries require the franchisee to certify they have reviewed the estimated initial investment and have sufficient cash resources?

According to Burros Fries's 2024 Franchise Disclosure Document, franchisees must certify that they have reviewed the estimated initial investment and startup costs detailed in the FDD. They must also certify that they have sufficient cash resources available to meet these expenses, including the initial franchise fee. This certification is part of the franchise agreement.

This requirement ensures that prospective Burros Fries franchisees are fully aware of the financial commitments involved in starting the franchise. By signing the agreement, the franchisee acknowledges they have reviewed the estimated costs and have the necessary funds to cover them. This helps to mitigate the risk of franchisees running out of funds during the initial phase of setting up the business.

The initial franchise fee for a Burros & Fries Business is $35,000. This fee grants the franchisee a license to operate a single Burros & Fries Business within a territory that extends up to three miles in any direction from the business location. The initial franchise fee also covers a regional webpage on the national website, the complete training program at the corporate headquarters, and manuals. The fee is due upon execution of the Franchise Agreement and is considered fully earned and nonrefundable to cover administrative and other expenses incurred by Burros Fries in granting the franchise.