What are all the fees Cicis charges a franchisee, as detailed across Item 5 and Item 6?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 5: INITIAL FEES]
Initial Franchise Fees: When you sign the Franchise Agreement, you must pay us an initial franchise fee of $30,000 for a Cicis Buffet Restaurant and $15,000 for a Cicis To Go Restaurant (subject to reduction under current incentive programs described below). The initial franchise fee is payable in a lump sum and is uniformly imposed (although we reserve the right to negotiate it at our discretion).
Initial Training Fee: We do not charge an initial training fee for the first and second Cicis Restaurants you or your affiliates develop. If, based on your operating history and our assessment of your ability to train your employees for the third and each subsequent Cicis Restaurant you or your affiliates develop, we determine that you and your personnel are required to attend our training program for the third or any subsequent Cicis Restaurant, you will be required to pay us an initial training fee of $2,500. If charged, the initial training fee will be due and payable, in a lump sum, on your execution of the Franchise Agreement.
Inspection Fee: You must pay us the following inspection fee in connection with the development of your Cicis Restaurant:
- Fee for Second On-Site Inspection of Proposed Locations: We may, but are not required to, conduct on-site inspections of the construction of your Cicis Restaurant. If we elect to do so, we will not charge you a fee for inspecting a proposed location for the first time. However, if you choose to pursue a proposed location and we determine that it is appropriate to conduct another on-site inspection, you must pay us an inspection fee, which we estimate will be in the range of $200 to $1,500 (depending on the distance of your location from our corporate headquarters). This amount will be due and payable upon delivery of our invoice.
- Fee for On-Site Construction Inspection: We may, but are not required to, conduct on-site inspections of the construction of your Cicis Restaurant. If we elect to do so, you must pay us a reasonable fee which we estimate will be in the range of $200 to $1,500 (depending on the distance of your location from our corporate headquarters). This amount will be due and payable upon delivery of our invoice.
[Item 6: OTHER FEES]
| Type of Fee(1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee | 5% of Net Sales for a Cicis Buffet Restaurant; 6% of Net Sales for a Cicis To Go Restaurant (subject to reduction for participation in current incentive programs). | The day of the week we specify (currently, Thursday) | See Notes 2, 3, 4, and 5 |
| Non-Compliance Fee | $250 per failure to comply with the Franchise Agreement, plus, your royalty fee will increase by one (1) percentage point until you have cured all deficiencies | On demand, the day after non- compliance occurs | Payable only if you are in default of your obligations under the Franchise Agreement. |
| Technology and Support Fee | $100 per month | When billed (currently, first day of the month) | The Technology and Support Fee is in addition to all direct out-of-pocket costs you must otherwise incur under the terms of the Franchise Agreement or the Manual to acquire and maintain the required computer system and technology. |
| Type of Fee(1) | Amount | Due Date | Remarks |
| --- | --- | --- | --- |
| Cost of Updating Cicis Approved POS System | $1,200 annually | When billed | Your total cost of updating Cicis Approved POS System will be approximately $3,000 to $4,800, annually, of which $1,200 shall be payable to us or our affiliates |
| Type of Fee(1) | Amount | Due Date | Remarks |
| ---------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| On- Site Opening Assistance | Estimated to be in the range of $800 to $3,025 (depending on the number of representatives we send to your Cicis Restaurant, the number of days during which we provide on-site opening assistance, and the location of your Cicis Restaurant) | When billed | We do not require you to reimburse us for the cost of providing on-site opening assistance for your and/or your affiliates' first or second Cicis Restaurant. However, for your and/or your affiliates' third or subsequent Cicis Restaurant, we may require you to pay or reimburse us for the expenses we incur to provide such assistance. |
| Interest | 5% per month or the maximum rate allowed by applicable law, whichever is less | On demand | We may charge you interest on all overdue amounts under both the Franchise Agreement between you and us (or our affiliates). |
| Training for Replacement or Successor Personnel | Up to $2,500 per replacement personnel | If applicable, before training | We have the right to charge a reasonable fee to train any replacement or successor Managing Owner (as defined in Item 15) or Operator (as defined in Item 15), which currently is $2,500 per person. If our trainers have to travel to provide the training, you must also pay for our trainers' airfare, plus other travel-related expenses we incur. |
| Additional & Remedial Training | We have the right to charge a fee for additional training, not to exceed $250 per day for each day of training that we determine is necessary. | Before training or when billed, at our discretion | Your Managing Owner, Operator, Managers, and other personnel we designate may have to attend additional training programs. Also, if you ask, or if we believe it is appropriate, we will (subject to availability) provide trained representatives to conduct on-site remedial training at your location. If our trainers have to travel to provide the training, you must also pay for our trainers' airfare, plus other travel-related expenses we incur. |
| Transfer Fee – Franchise Agreement | $7,500, plus our expenses, which we estimate to be between $500 - $1,000 | Submitted with transfer application or, in our discretion, paid at closing |
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, franchisees can expect to pay several fees, both initially and on an ongoing basis. The initial fees include an initial franchise fee of $30,000 for a Cicis Buffet Restaurant or $15,000 for a Cicis To Go Restaurant. There is also a potential initial training fee of $2,500 for the third and subsequent restaurants a franchisee develops, should Cicis determine training is necessary. Inspection fees for second on-site location inspections and on-site construction inspections range from $200 to $1,500, depending on the distance from Cicis's headquarters.
Ongoing fees include a royalty fee, which is 5% of Net Sales for a Cicis Buffet Restaurant and 6% for a Cicis To Go Restaurant. A technology and support fee of $100 per month is also required. Franchisees must also budget approximately $3,000 to $4,800 annually to update the Cicis Approved POS System, with $1,200 payable to Cicis or its affiliates.
Additional fees may arise, such as an on-site opening assistance fee ranging from $800 to $3,025 for the third or subsequent restaurant. A non-compliance fee of $250 per failure, coupled with a royalty fee increase of one percentage point until the issue is resolved, can be assessed. Interest on overdue amounts is charged at 5% per month or the maximum rate allowed by law. Training for replacement personnel can cost up to $2,500 per person, and additional training may cost up to $250 per day. Finally, a transfer fee of $7,500, plus expenses estimated between $500 and $1,000, is required for franchise agreement transfers.
These fees represent significant financial obligations for Cicis franchisees. It is important to note that some fees, like the initial franchise fee, are non-refundable. Prospective franchisees should carefully consider these costs and ensure they have sufficient capital to meet these obligations. Additionally, understanding the conditions under which certain fees are charged, such as the non-compliance fee or the on-site opening assistance fee, is crucial for managing expenses and maintaining a positive relationship with Cicis.