For a Carls franchise, what is the range of the Opening Training Support Team Fee?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Expenditure: Current Prototype | Low Amount | High Amount | Method of Payment (2) | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|---|
| Fees to CJR: | |||||
| Initial Franchise Fee (3) | $25,000 | $25,000 | Lump sum | See Item 5 | CJR |
| Opening Training Support Team Fee (3) | $30,000 | $74,000 | As incurred | See Item 5 | Vendors, CJR |
| Total Fees to CJR | $55,000 | $99,000 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 31–36)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, the estimated initial investment includes an Opening Training Support Team Fee. This fee ranges from $30,000 to $74,000. This fee is paid as incurred and is directed to vendors and to CJR.
The Opening Training Support Team Fee is intended to cover the costs associated with the All-Star Team's trainers. This includes their salaries, administrative fees, travel, lodging, and meal expenses. The All-Star Team provides training and support at the franchisee's location, typically for four days before the restaurant opens and a minimum of seven days after opening, totaling up to two weeks.
Prospective Carls franchisees should factor this expense into their initial budget. It is important to note that these figures are estimates and can vary. Item 5 of the FDD provides further details on the amount and payment of the Initial Franchise Fee and Opening Training Support Fee.