What is the initial franchise fee payable to Chatime for a single unit franchise agreement?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
ill be $200 per person per day.
| Initial Fees Payable | Single Unit Franchise | Three Unit Multi-Unit | Ten Unit Multi-Unit |
|---|---|---|---|
| to Franchisor or | Agreement | Development | Development |
| Affiliates | Agreement | Agreement | |
| Franchise | $54,900 | $134,900 | $274,900 |
| Fee | |||
| Opening | $10,000 to $16,000 | $10,000 to $216,000 | $10,000 to $16,000 |
| Inventory | |||
| and | |||
| Supplies for First | |||
| Location | |||
| Technology | $10,500 to $14,000 | $10,500 to $14,000 | $10,500 |
Source: Item 5 — Initial Fees (FDD pages 11–13)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, the initial franchise fee for a single unit franchise is $54,900. This fee is non-refundable, although Chatime will return the fee if the franchisee terminates the Franchise Agreement within seven days of signing. The refund will be issued within 14 days after Chatime receives the termination notice.
In addition to the initial franchise fee, the FDD outlines other initial fees associated with opening a Chatime store. These include expenses for opening inventory and supplies, technology systems, uniforms, and initial training. These additional costs range from $26,000 to $36,500, bringing the total initial investment for a single-unit Chatime franchise to between $80,900 and $91,400.
Prospective franchisees should note that the initial franchise fee covers the right to operate a Chatime store under the company's brand and system. It is a standard practice in the franchising industry to charge an initial fee, which typically covers the franchisor's costs for granting the franchise, providing initial training, and offering support to the new franchisee. The non-refundable nature of the fee (except under the specific termination condition) is also a common practice, as it compensates the franchisor for its initial efforts and expenses.