Which disclosure document items relate to the Crab N Spice franchisee's fees?

According to the 2024 Crab N Spice Franchise Disclosure Document, several items relate to franchisee fees. Specifically, Item 4 discusses the initial franchise fee, royalty fees, and brand development fund contributions. Item 5 details the initial fees a franchisee must pay. Item 6 outlines other fees franchisees may incur during the franchise term. Item 7 provides estimates for the initial investment, which includes some fees. These sections of the FDD provide a comprehensive overview of the costs associated with opening and operating a Crab N Spice franchise.

Item 10 within the FDD pertains to the obligations of the franchisee regarding payments to the franchisor and other parties. This includes the initial franchise fee, continuing royalty fees, and contributions to the brand development fund. Additionally, Item 10 outlines the circumstances under which these fees are refundable or non-refundable, as well as the consequences of failing to make timely payments.

Item 21 includes financial statements that discuss franchisee receivables, which primarily result from initial franchise fees, royalty fees, brand development contributions, and training fees charged to franchisees. The timing of revenue recognition may differ from the timing of invoicing to customers. Crab N Spice records an accounts receivable when revenue is recognized prior to invoicing, or unearned revenue when revenue is recognized after invoicing. The company reports these receivables at net realizable value.