When is the Relocation Extension Fee due for a Carvel franchise?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee1, 4 | Amount | Date Due | Remarks |
|---|---|---|---|
| Relocation Extension Fee | $1,500 per year that the term is extended. | Before we sign relocation Franchise Agreement | If you relocate to a new site and we agree to extend the term of your Franchise Agreement (or enter into a new Franchise Agreement) to match the term of your new lease, you must pay the Relocation Extension Fee in addition to the Relocation Fee. |
Source: Item 6 — OTHER FEES (FDD pages 31–42)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the Relocation Extension Fee is due before Carvel signs the relocation Franchise Agreement. This fee is $1,500 per year that the term is extended.
This fee is charged if a franchisee relocates to a new site and Carvel agrees to extend the term of the Franchise Agreement, or enters into a new agreement, to match the term of the new lease. In addition to the Relocation Extension Fee, the franchisee must also pay a Relocation Fee, which is 10% of the then-current Initial Franchise Fee, before the relocation occurs.
Therefore, if a Carvel franchisee wants to relocate and extend their franchise agreement term to match the new lease, they should be prepared to pay both the Relocation Fee and the Relocation Extension Fee before the relocation Franchise Agreement is signed. This could represent a significant upfront cost in addition to other relocation expenses.