What is the amount of the initial franchise fee for a Crepe De Licious franchise?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
eement, so long as you are not in default under this Agreement. We may require you to use the intranet system for communications, reports, and other functions, and you will comply with our requirements.
8. PAYMENTS AND REPORTS
8.01 Initial Franchise Fee. When you sign this Agreement, you will pay us the initial franchise fee ("Initial Franchise Fee") in the amount of $35,000. The Initial Franchise Fee is in consideration of the administrative and other expenses we incurred in entering into this Agreement, and for our lost or deferred opportunity to enter into a similar arrangement with others. The Initial Franchise Fee is non-refundable, and is fully earned when we sign this Agreement. Notwithstanding the foregoing, the Initial Franchise Fee is not payable hereunder if you sign an area develo
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, the initial franchise fee is $35,000. This fee is due when the Franchise Agreement is signed. Crepe De Licious states that this fee compensates them for administrative and other expenses related to entering into the agreement, as well as for the lost opportunity to partner with someone else. Once the agreement is signed, the initial franchise fee is considered fully earned and is non-refundable.
However, the FDD stipulates an exception: if a franchisee signs an area development agreement for the territory, the initial franchise fee may not be payable under the standard franchise agreement, unless the area developer agreement specifically requires it. Furthermore, any territory reservation fee previously paid will be deducted from this initial franchise fee.
In order to reserve a territory, a prospective franchisee must sign a Territory Reservation Agreement and pay a non-refundable Territory Reservation Fee of $10,000. This secures the territory until a specified date, by which time the purchase of the Crepe De Licious franchise must be completed. The balance of the initial franchise fee is due upon acceptance of the franchise agreement and will be based on the then-current initial franchise fee terms.