When is the initial franchise fee due for a Carvel franchise?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
$392,375 | $785,850 | | | |
YOUR ESTIMATED INITIAL INVESTMENT: EXPRESS SHOPPE
| Amount of E | xpenditure | When | To Whom | ||
|---|---|---|---|---|---|
| Type of Expenditure | Low | High | Method of Payment | Payments Are Due | Payment Will Be Made |
| Initial Franchise Fee 1 | $10,500 | $10,500 | Lump sum | At signing of Franchise Agreement | Us |
| Construction and Build | $2,650 | $32,000 | As incurred | Before opening | Contractors |
| Out Cos |
Source: Item 7 — Estimated Initial Investment (FDD pages 42–52)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the initial franchise fee is due at the signing of the Franchise Agreement. The amount of this fee varies depending on the type of Carvel shop a franchisee is opening. For a standard Carvel shop, the initial franchise fee ranges from $30,500 to $61,000. For smaller Carvel locations, the initial franchise fee is $10,500.
For prospective Carvel franchisees, this means that they must have the full initial franchise fee amount available when they sign the franchise agreement. This fee is paid directly to Carvel. It is important to note that this fee is generally non-refundable, so franchisees should be certain of their decision before signing the agreement.
Understanding when the initial franchise fee is due is a critical part of financial planning for a new Carvel franchise. Franchisees should also factor in other costs due before opening, such as construction, equipment, and inventory, as outlined in Item 7 of the FDD.