What is the amount of the Successor Fee that a Craters & Freighters franchisee must pay to the franchisor?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
claims against Franchisor, Franchisor's Affiliates, and subsidiaries and their respective officers, directors, agents, shareholders and employees.
- 2.2.8 Franchisee has paid to Franchisor a successor fee ("Successor Fee") in the amount of Five Thousand Dollars ($5,000).
- 2.3 Notice of Intention to Renew. If Franchisee desires to enter into a Successor Franchise Agreement, Franchisee must provide Franchisor with w
Source: Item 22 — CONTRACTS (FDD pages 49–50)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, a franchisee must pay a Successor Fee of $5,000 to the franchisor if they meet certain conditions and desire to enter into a Successor Franchise Agreement.
To qualify for a renewal, the franchisee must meet Craters & Freighters' then-current standards for franchisees entering the system. The franchisee's business must also meet or exceed the franchisor's financial performance targets for renewing franchisees. These targets include metrics such as Adjusted Gross Sales per capita within the Territory, year-to-year growth in Adjusted Gross Sales, and service metrics throughout the Territory.
Additionally, the franchisee must execute a general release of all claims against Craters & Freighters, its affiliates, subsidiaries, and their respective officers, directors, agents, shareholders, and employees. The franchisee must also provide Craters & Freighters with written notice of their desire to renew the agreement at least six months, but not more than nine months, before the expiration of the initial term.