What is the total estimated initial investment range for a three to ten location Multi-Unit Development Agreement with Chatime?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
fice space of one of your Chatime Stores.
- The total initial investment for a multi-unit development agreement for three to ten locations is $373,100 to $699,900.
The low-end figure of $373,100 is the low-end estimated initial investment for a multi-unit development agreement for three locations. This figure includes the Multi-Unit Development Fee for three locations, namely $134,900, plus the low-end estimated initial investment for the first location, namely $238,200 (calculated based on the expenses listed in Item 7 not including the Initial Franchise Fee which is not included because the Multi-Unit Development Fee serves as full credit against the initial franchise fees for each location including the first location).
The high-end figure of $699,900 is the high-end estimated initial investment for a multi-unit development agreement for ten locations. This figure includes the Multi-Unit Development Fee for ten locations, namely $274,900 plus the high-end estimated initial investment for the first location, namely $425,000 (calculated based on the expenses listed in Item 7 not including the Initial Franchise Fee which is not included because the Multi-Unit Development Fee serves as full credit against the initial franchise fees for ea
Source: Item 7 — Estimated Initial Investment (FDD pages 17–22)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, the total estimated initial investment for a Multi-Unit Development Agreement, which allows a franchisee to open three to ten locations, ranges from $373,100 to $699,900. This investment covers the multi-unit development fee and the estimated initial investment to open the first Chatime store.
The low-end estimate of $373,100 is specifically for a three-location agreement. This includes a $134,900 multi-unit development fee and $238,200 for the initial investment in the first store. The high-end estimate of $699,900 is for a ten-location agreement, which includes a $274,900 multi-unit development fee and $425,000 for the first store's initial investment.
It is important to note that these figures do not include the initial franchise fee for each location, as the multi-unit development fee serves as a credit towards those fees. Prospective franchisees should carefully consider these costs and ensure they have sufficient capital to meet the financial obligations of the multi-unit development agreement with Chatime.