What is the full transfer fee for an Hck Hot Chicken restaurant?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
ee. |
| Type of Fee (Note 1) | Amount | Due Date | Remarks |
|---|---|---|---|
| not completed. You will also be required to pay any professional fees that we incur for certain transfers as discussed in this Item 6. | |||
| Indemnification | Will vary under circumstances | As incurred | You must indemnify and reimburse us for any expenses or losses, including professional fees that we or our representatives incur related in any way to your HCK Hot Chicken Restaurant or Franchise. |
| Renewal Fee | The greater of 50% of our then-current initial franchise fee, or $20,000 | At the time you sign the new franchise agreement | Payable if you qualify to renew your Franchise Agreement and choose to enter into a successor franchise agreement. |
| Relocation Fee | $5,000 | As incurred | Payable if we permit you to relocate your HCK Hot Chicken Restaurant. |
| Transfer Fee (Note 7) | $10,000 per Restaurant | $1,000 non refundable deposit at time of transfer application submittal, and the remaining balance of fee at time of approved transfer | Payable when you transfer your Franchise or upon any "Assignment" as defined in the Franchise Agreement. Unless we approve otherwise, in our sole discretion, you will not be able to transfer single Restaurants or franchise agreements for unopened Restaurants under the Area Development Agreement as explained in Note 7 below. |
| Transfer to Entity | Our actual internal and third-party costs in reviewing the requested transfer. | Upon demand | If you are transferring the Franchise Agreement to an entity that you control, you will not be required to pay a transfer fee, but you must pay our actual costs. |
| Liquidated Damages (Note 8) | Will vary under the circumstances | Within 15 days after termination of the Franchise Agreement | Due only if we terminate the Franchise Agreement before the end of the term because of your violation of any of the terms of the non-competition provisions. |
| Broker Fees | Our actual cost of the brokerage commissions, finder's fees, or similar charges | As incurred | If you transfer your HCK Hot Chicken Restaurant Business to a third party or purchaser, you must reimburse all of our actual costs for commissions, finder's fees and similar charges. |
| Securities Offering | Our reasonable costs and | Due when you ask | If you plan to offer securities by private |
| Fee (Area | expenses associated with | us to review a | offering, you must obtain our approval. You |
| Development | reviewing the proposed | proposed securities | must submit all documents we reasonably |
| Franchises Only) | offering | of |
Source: Item 6 — OTHER FEES (FDD pages 13–19)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, the transfer fee is $10,000 per restaurant. This fee is payable when a franchisee transfers their franchise or upon any "Assignment" as defined in the Franchise Agreement.
To initiate the transfer process, a franchisee must submit a $1,000 non-refundable deposit with their transfer application. The remaining balance of $9,000 is due upon approval of the transfer.
Notably, Hck Hot Chicken retains discretion over transfer approvals, and unless explicitly approved, franchisees operating under an Area Development Agreement cannot transfer single restaurants or franchise agreements for unopened restaurants. However, if a franchisee is transferring the Franchise Agreement to an entity that they control, they will not be required to pay the $10,000 transfer fee, but they must pay Hck Hot Chicken's actual internal and third-party costs in reviewing the requested transfer.