What does the Crave Franchise Agreement say about payments to the franchisor?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
In the State of South Dakota, we will defer the payment of the initial franchise fee, development fee, and any other initial payment until all of our material pre-opening obligations have been satisfied and until you open your business and it is operating. However, you must execute the Franchise Agreement prior to looking for a site or beginning training.
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- The Virginia State Corporation Commission's Division of Securities and Retail Franchising requires us to defer payment of the initial fran
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
Based on the 2025 Crave Franchise Disclosure Document, the franchisor requires specific payments related to the franchise agreement. In South Dakota, Crave defers the payment of the initial franchise fee, development fee, and any other initial payment until all material pre-opening obligations have been satisfied and until the franchisee opens their business and it is operating. However, the franchisee must execute the Franchise Agreement prior to looking for a site or beginning training.
According to the addendum required by the Commonwealth of Virginia, the Virginia State Corporation Commission's Division of Securities and Retail Franchising requires Crave to defer payment of the initial franchise fee until all of their material pre-opening obligations have been satisfied.
Prospective franchisees should note that these payment terms may vary depending on the state in which they are franchising and should carefully review the specific addenda applicable to their location.