What is the estimated range for insurance costs for a Crave franchise for the first 11 months?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
ESTIMATED INITIAL INVESTMENT – FOOD TRUCK**
| (1) | (2) | (3) | (4) | (5) |
|---|---|---|---|---|
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made |
| Initial Franchise Fee (1) | $30,000 | Lump Sum | When Franchise Agreement Signed | Us |
| Truck with (15) Equipment | $225,000 to $285,000 | As arranged | As arranged | Designated Supplier |
| Signage (6) | $0 to $250 | As arranged | As arranged | Suppliers |
| Point-of-Sale & Computer Equipment (8) | $1,000 to $2,500 | As arranged | As arranged | Suppliers |
| Business Licenses & | $200 to $1,000 | As arranged | As arranged | Government |
| Permits (9) | Agencies | |||
| Insurance – 1 Month (11) | $100 to $800 | As arranged | As arranged | Insurance Companies |
| Initial Inventory | $2,000 to $5,000 | As arranged | As arranged | Suppliers |
| Food & Other Items |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–26)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the estimated cost for one month of insurance ranges from $100 to $800 for a Food Truck franchise, and $1,000 to $3,000 for a Restaurant franchise. To estimate the insurance costs for the first 11 months, a prospective franchisee would multiply these figures by 11.
For a Food Truck, the estimated insurance cost for 11 months would range from $1,100 (11 x $100) to $8,800 (11 x $800). For a Restaurant, the estimated insurance cost for 11 months would range from $11,000 (11 x $1,000) to $33,000 (11 x $3,000).
It's important to note that these figures are estimates, and the actual insurance costs may vary based on factors such as the insurance company's practices and the franchisee's creditworthiness. The FDD indicates that insurance premiums may be payable monthly, quarterly, semi-annually, or annually, which could affect the timing of these payments. A prospective franchisee should consult with insurance providers to obtain accurate quotes for their specific circumstances.