What is the low estimate for professional fees for a Cream franchise?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
nchise Agreement)
| Type of Expenditure | Amount | Method of Payment 1 | When Due | To Whom Payment is Made | |
|---|---|---|---|---|---|
| Low | |||||
| Initial Franchise Fee | $40,000 | $40,000 | Lump sum | Upon signing Franchise Agreement | Us |
| Real Estate (3 Months’ | $18,000 | $60,000 | As arranged | As arranged | Landlord |
| Rent) 2 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 17–22)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, the estimated low-end cost for professional fees is $10,000. These fees cover expenses for hiring professionals such as an attorney to evaluate the franchise opportunity and negotiate the lease, forming a business entity, and setting up accounting with an accountant. This is an important consideration for prospective franchisees as these services are crucial for the legal and financial setup of the business.
The fees are paid to unaffiliated third parties such as accountants and attorneys, and the payment timing is arranged between the franchisee and the professional. These costs are part of the initial investment required to start the Cream franchise.
It's important to note that these are just estimates, and the actual costs may vary depending on the location of the franchise, the complexity of the lease agreement, and the specific professionals hired. Franchisees should budget accordingly and potentially seek quotes from multiple professionals to ensure they are getting competitive rates. Understanding these costs upfront helps in accurately assessing the total investment needed to start and operate a Cream franchise.