Regarding insurance requirements for a Crave franchise, what multiple of the Commercial General Liability insurance must the Tenant's net worth be?

According to Crave's 2025 Franchise Disclosure Document, if a tenant seeks to use self-insurance in place of standard insurance policies, they must demonstrate a net worth that is at least ten times the amount of Commercial General Liability insurance required by the lease.

This requirement ensures that the tenant has sufficient financial resources to cover potential liabilities that would otherwise be covered by a commercial general liability policy. The landlord, in this case, needs to be assured that the tenant can handle significant financial responsibilities.

For a prospective Crave franchisee, this means that if they plan to self-insure, they must provide proof of a substantial net worth. This could be a significant barrier for some franchisees, as they would need to have considerable assets to qualify for self-insurance. It is important to note that the landlord has the discretion to accept or reject self-insurance, even if the tenant meets the net worth requirement.