When is the grand opening marketing fee due for a Crave franchise?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
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| (1) Type of Expenditure | (2) Amount | (3) Method of Payment | (4) When Due | (5) To Whom Payment is to be Made |
|---|---|---|---|---|
| Initial Franchise Fee (1) | $45,000 | Lump Sum | When Franchise Agreement Signed | Us |
| 1 Month (2) | $5,000 to $15,000 | As arranged | As arranged | Landlord |
| Rent – | ||||
| Lease & Utility (3) Security Deposit | $4,000 to $15,000 | As arranged | As arranged | Landlord, Utility Companies |
| Design & Architect (4) Fees | $1,000 to $35,000 | As arranged | As arranged | Designer or Architect |
| Leasehold | $100,000 to $700,000 | As arranged | As arranged | Contractor |
| Improvements (5) | ||||
| dependent on site conditions | ||||
| Signage (6) | $3,000 to $30,000 | As arranged | As arranged | Suppliers |
| Equipment, | $70,000 to $160,000 | As arranged | As arranged | Suppliers |
| Furniture and | ||||
| Fixtures (7) | ||||
| Point-of-Sale & Computer (8) Equipment | $1,500 to $5,500 | As arranged | As arranged | Suppliers |
| Business Licenses & Permits (Not Including Beer/Wine (9) License) | $500 to $4,000 | As arranged | As arranged | Government Agencies |
| Professional Fees | $1,000 to $3,500 | As arranged | As arranged | Attorney, |
| (10) | Accountant | |||
| Insurance – 1 (11) Month | $1,000 to $3,000 | As arranged | As arranged | Insurance Companies |
| Initial Inventory | $8,000 to $15,000 | As arranged | As arranged | Suppliers |
| Food & Other | ||||
| (12) | ||||
| Items | ||||
| Initial Inventory | $100 to $1,000 | As arranged | As arranged | Suppliers |
| (12) | ||||
| Alcohol |
| (1) Type of Expenditure | (2) Amount | (3) Method of Payment | (4)
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–26)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the timing of the grand opening marketing fee depends on the franchise type. For a standard Crave restaurant, the $5,000 grand opening marketing fee is due when the premises lease is signed. However, for a Crave food truck, the $2,500 grand opening marketing fee is due upon the truck lease signing.
This means that prospective Crave franchisees need to be prepared to pay this fee relatively early in the process, before the location is even open. The franchisor, Crave, uses this fee to conduct a grand opening marketing campaign, which will occur within the first 90 days of operation, although Crave reserves the right to choose a different time period for the campaign.
It is important to note the difference in the fee amount and payment timing between the restaurant and food truck models. Franchisees should factor this into their initial investment calculations and be aware of when the payment is due to avoid any delays in the opening process. This type of marketing fee is common in franchising, as franchisors often coordinate grand opening efforts to ensure brand consistency and maximize impact.