What is the required payment upon execution of the Crave Cookies MUDA?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
| Minnesota | Minnesota Department of Commerce Securities-Franchise Registration 85 7th Place East, Suite 280 St. Paul, MN 55101-2198 (651) 539-1500 | Commissioner of Commerce Minnesota Department of Commerce 85 7th Place East, Suite 280 St. Paul, MN 55101-2198 (651) 539-1500 |
|---|---|---|
| New York | New York State Department of Law Investor Protection Bureau 28 Liberty St. 21st Floor New York, NY 10005 212-416-8236 | Secretary of State 99 Washington Avenue Albany, NY 12231 |
| North Dakota | North Dakota Securities Department 600 East Boulevard Ave., State Capital Fifth Floor, Dept. 414 Bismarck, ND 58505-0510 (701) 328-4712 | |
| Oregon | Department of Consumer & Business Services Division of Finance and Corporate Securities Labor and Industries Building Salem, Oregon 97310 (503) 378-4140 | |
| Rhode Island | Department of Business Regulation Securities Division 1511 Pontiac Avenue John O. Pastore Complex–69-1 Cranston, RI 02920-4407 (401) 462-9527 | |
| South Dakota | Division of Insurance Securities Regulation 124 South Euclid Suite 104 Pierre, SD 57501-3185 (605) 773-3563 | |
| Virginia | State Corporation Commission 1300 East Main Street 9th Floor Richmond, VA 23219 (804) 371-9051 | Clerk of the State Corporation Commission 1300 East Main Street, 1st Floor Richmond, VA 23219 |
| Washington | Department of Financial Institutions | Department of Financial Institutions |
| Securities Division | Securities Division | |
| P.O. Box 41200 | 150 Israel Rd SW | |
| Olympia, WA 98504-1200 | Tumwater, WA 98501 | |
| (360) 902-8760 | (360) 902-8760 | |
| Wisconsin | Division of Securities Department of Financial Institutions Post Office Box 1768 Madison, WI 53 |
Source: Item 23 — RECEIPTS (FDD pages 47–194)
What This Means (2025 FDD)
According to the 2025 Crave Cookies FDD, when a franchisee executes a Multi-Unit Development Agreement (MUDA), they must pay the total initial franchise fee for the first location to Crave Cookies Franchising. For each additional location listed on the MUDA, the franchisee can reserve it by paying a deposit of $5,000. The remaining balance for each additional location is due at the time the lease is signed. It is important to note that both the initial franchise fee and any deposits made are non-refundable.
This means that a prospective Crave Cookies franchisee entering into a MUDA needs to be prepared to pay the full initial franchise fee for their first location upfront. Additionally, they should have $5,000 available for each subsequent location they wish to reserve under the agreement. This financial commitment secures the right to develop those additional locations, but the franchisee risks losing these funds if they fail to proceed with the development, as the fees are non-refundable.
In the franchise industry, it is common for franchisors to require an initial franchise fee to grant franchisees the right to use their brand and system. Multi-unit agreements often involve a development fee or deposit to secure future locations, which may or may not be refundable. Franchisees should carefully consider their development plans and financial capabilities before entering into such agreements, given the potential for losing non-refundable deposits.