What conditions trigger the Cream relocation fee?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks 1, 2 |
|---|---|---|---|
| Relocation Fee | $7,500, plus reimbursement of our costs and fees | As incurred | If you request to relocate your Shop and we approve your request, you must pay a relocation fee. |
Source: Item 6 — OTHER FEES (FDD pages 13–17)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, a relocation fee is triggered if a franchisee requests to relocate their shop and Cream approves that request. The relocation fee is $7,500, plus reimbursement of Cream's costs and fees. This fee is due as incurred.
Relocation fees are not uncommon in the franchise industry, as the franchisor often incurs costs in evaluating and approving a new location to ensure it meets brand standards and market potential. The fee covers Cream's expenses related to assessing the suitability of the proposed new location. These expenses can include site visits, market research, and legal and administrative work.
Prospective Cream franchisees should consider the potential for relocation during the term of their franchise agreement and factor this fee into their financial planning. It is important to understand what specific costs and fees beyond the $7,500 the franchisee will be responsible for reimbursing. Franchisees should also inquire about the criteria Cream uses to evaluate and approve relocation requests to better understand the likelihood of approval and associated costs.