What is the franchise fee for additional Apricot Lane stores for an existing franchisee?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
ing Principles in the United States of America (U.S. GAAP).
Revenue Recognition
Revenues from franchise fees are recognized when all services specified by the franchise agreement have been performed, generally when the franchisee's store opens. These services generally include site selection, lease negotiation, marketing, training of the franchisee, training of their employees, and store opening assistance. The initial franchise fee for 2024 and 2023 is $39,50
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the initial franchise fee for a second or additional franchise purchased by an existing franchisee is $20,000. This fee is payable under the same terms and conditions as the initial franchise fee for the first store.
This means that if a current Apricot Lane franchisee wants to expand their business by opening another location, they will need to pay a franchise fee of $20,000 for each additional store. This is lower than the initial franchise fee for a first-time franchisee, which the document notes was $39,500 in 2023 and 2024.
The FDD also states that the franchisee will sign the current Franchise Agreement for the second location, and any "Second or Additional Store Fee" in that agreement will apply towards any third store location purchased. This implies that there may be further reductions or different fee structures for franchisees who continue to expand and open multiple Apricot Lane stores.
Prospective franchisees should carefully consider these fees and the terms of the Franchise Agreement when planning for potential expansion. It would be prudent to discuss with Apricot Lane the specific fee structure for multiple locations and any potential discounts or incentives available for multi-unit operators.