When is the payment due for the initial Carvel franchise fee?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
| $5,300 | As incurred | Before opening | Us | | Opening Inventory21 | $500 | $5,000 | As incurred | Before opening | Vendors | | Additional Funds - 3 Months22 | $250 | $5,500 $122,775 $316,350 | As incurred | As incurred | Us, employees, vendors, etc. |#### YOUR ESTIMATED INITIAL INVESTMENT: CINNABON CO-BRANDED SHOPPE 26
| Amount of I | Expenditure | Method of | When | To Whom | |
|---|---|---|---|---|---|
| Type of Expenditure | Low | High | Payment | Payments Are Due | Payment Will Be Made |
| Initial Franchise Fee 1 | $61,000 | $61,000 | Lump sum | At signing of Franchise Agreement | Us |
| Construction and Build | $156,000 | $366,000 | As incurred | As arranged | Contractors |
| Out Costs 2 | |||||
| Permitting 3 | $2,100 | $10,500 | As incurred | Before opening | Government agencies |
| Equipment Package 4 | $78,000 | $265,000 | Lump sum | Before opening | Vendors |
| Millwork 5 | $20,800 | $60,000 | As incurred | Before opening | Contractors |
| Furniture 6 | $0 | $20,000 | As incurred | Before opening | Vendors |
| Menu Board, Graphics, and Interior Signage 7 | $10,400 | $14,700 | As incurred | Before opening | Vendors |
| Exterior Signage 8 | $1,560 | $35,000 | Lump sum | Before opening | Vendors |
| Computer System 9 | $10,500 | $32,000 | As incurred | Before opening | Vendors |
| Smallwares 10 | $10,400 | $16,000 | As incurred | Before opening | Vendors |
| T |
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 franchise.
For a traditional Carvel Shoppe, the initial franchise fee ranges from $30,500 to $61,000, paid in a lump sum. For a Carvel Express Shoppe, the initial franchise fee is $10,500, also paid in a lump sum. For a Carvel Non-Traditional Shoppe, the initial franchise fee is $5,500, paid in a lump sum.
For a co-branded Carvel and Cinnabon Shoppe, the initial franchise fee is $61,000, which includes $30,500 paid to Carvel and $30,500 paid to Cinnabon. This fee structure highlights the importance of understanding the specific franchise agreement and associated costs before signing.