What is the fee charged by Nothing Bundt Cakes for site selection and non-legal lease review?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
ollateral Assignment of Lease, in the form attached as Exhibit 2 to the Franchise Agreement; (b) the economic terms of the Lease; and (c) your full payment of the Franchise Fee. (Section 4.2 and Exhibit 2 of the Franchise Agreement). We reserve the right to require you to pay us or our designated suppliers a
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 42–52)
What This Means (2025 FDD)
According to Nothing Bundt Cakes' 2025 Franchise Disclosure Document, Nothing Bundt Cakes reserves the right to charge franchisees a fee of $3,000 to cover the costs associated with site selection and non-legal lease review. This fee is not mandatory, but Nothing Bundt Cakes can impose it.
This means that in addition to other startup costs, a new Nothing Bundt Cakes franchisee might have to pay an additional $3,000 for site selection and lease review. This fee is intended to cover Nothing Bundt Cakes' expenses for assisting the franchisee in these crucial pre-opening tasks.
Prospective franchisees should clarify with Nothing Bundt Cakes whether this fee is typically charged and under what circumstances it is applied. Understanding the likelihood of incurring this fee is essential for accurate financial planning when considering a Nothing Bundt Cakes franchise.