What is the Nothing Bundt Cakes franchisee's obligation regarding requesting a renewal of their franchise?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
on Net Revenues during previous week ending Sunday | See Item 11 for a detailed discussion of the Production Fund. Contributions to the Production Fund (the "Production Fund Fee") must be paid by EFT. |
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Net Revenues (see Note 3) | |||
| Paid Media Fund (the "Media Fund") | Combined contributions made by you for the Media Fund and the Production Fund will be 5% of your weekly Net Revenues (see Note 3) | Due on Tuesday of each week on Net Revenues during previous week ending Sunday | See Item 11 for a detailed discussion of the Media Fund. Contributions to the Media Fund (the "Media Fund Fee") must be paid by EFT. |
| Local Cooperative Fund | If we designate a Cooperative Fund for your Territory, you must participate in the Cooperative Fund, and your contributions will be credited towards your Production Fund contribution requirements | Must be spent monthly | If we designate a local cooperative fund ("Cooperative") for your Territory, you must participate and your contributions to the Cooperative will be credited towards your required Production Fund contribution. |
| Training for Additional or Replacement Operators | $2,500 per person, plus expenses, but could increase if our costs increase | Beginning of training | We provide initial training for two people at no additional cost (see Item 11). You must pay this amount for any additional or replacement Operator that you hire. You must also pay all expenses your trainee incurs, including travel, lodging, meals and applicable wages. You must at all times have a full-time Operator certified by us to operate the Bakery. |
| Additional Training or Assistance during Franchise Term | Our then-current fee, currently $300 per trainer per day plus expenses for training at our location; $500 per day plus expenses for training in your Territory; but could increase if our costs increase | When training or assistance begins |
Source: Item 6 — OTHER FEES (FDD pages 23–30)
What This Means (2025 FDD)
According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, a franchisee must pay 50% of the then-current Initial Franchise Fee when requesting a renewal of their franchise. This fee is due at the time the franchisee submits their renewal request.
This means that if a franchisee wishes to continue operating their Nothing Bundt Cakes bakery after the initial franchise term expires, they will need to apply for a renewal and be prepared to pay a renewal fee. The amount of this fee is tied to the initial franchise fee at the time of renewal, so it could fluctuate over time.
Franchisees should consider this renewal fee as part of their long-term financial planning. It is important to note that this fee is specifically for the request to renew the franchise, and does not guarantee that the renewal will be granted. The Nothing Bundt Cakes franchise agreement will likely outline additional criteria and conditions that must be met for a renewal to be approved.