When is the Burros Fries transfer fee due?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
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| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Transfer Fee | A flat fee of $15,000 when you transfer your franchised business. If transferee came from our lead database, you may be required to pay the then-current fee to us plus any costs associated with applicable broker fees. | At the time the transferee signs the Franchise Agreement in effect | Payable to us when the Franchise Agreement is signed. |
Source: Item 6 — OTHER FEES (FDD pages 12–16)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, the transfer fee is due at the time the transferee signs the Franchise Agreement. The transfer fee is a flat $15,000 when a franchisee transfers their franchised business.
If the transferee comes from Burros Fries's lead database, the franchisee may be required to pay the then-current fee to Burros Fries, in addition to any costs associated with applicable broker fees. This means that the transfer fee could potentially be higher than $15,000 if the lead source is from Burros Fries.
The transfer fee is payable to Burros Fries when the Franchise Agreement is signed. This is a standard practice in franchising, as it ensures that Burros Fries is compensated for the transfer of the franchise to a new owner.