Under what condition is a Supplemental Territory Fee required for a Craters & Freighters franchise?

According to the 2025 Craters & Freighters Franchise Disclosure Document, a Supplemental Territory Fee is required if a franchisee requests and receives approval for a territory with a population exceeding 1,000,000 people. In this case, the franchisee must pay a Supplemental Territory Fee of $0.015 per additional person in the territory, in addition to an initial franchise fee of $45,000.

For example, if a prospective Craters & Freighters franchisee seeks a territory with a population of 1,500,000, they would need to pay the initial franchise fee of $45,000. Additionally, they would calculate the supplemental territory fee based on the 500,000 people exceeding the 1,000,000 threshold. This would result in a supplemental fee of $7,500 (500,000 x $0.015). The total initial franchise-related fees would then amount to $52,500.

This supplemental fee structure is important for prospective franchisees to consider, as it can significantly increase the initial investment required to start a Craters & Freighters franchise in a densely populated area. Franchisees should carefully evaluate the population of their desired territory and factor in this additional fee when assessing the financial feasibility of the franchise.