When is the Area Development Fee due for a Crepe De Licious Area Development Agreement?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
pment Fee
If you are going to be an Area Developer, then you will sign an Area Development Agreement and pay us an area development fee (the "Area Development Fee"). The amount of the Area Development Fee will be calculated by multiplying $35,000 times the number of Crepe Delicious Restaurants to be developed under the Area Development Agreement. The Area Development Fee will be due in a lump sum payment upon the signing of an Area Development Agreement. The Area Development Fee is fully earned and nonrefundable in consideration of administrative and other expenses we incur in entering into the Area Development Agreement, and for our lost or deferred opportunities to enter into the Area Development Agreement with others, regardless of whether you enter into any Franchise Agreements for Franchised Restaurants to be developed. The Area Development Fee is imposed
Source: Item 5 — INITIAL FEES (FDD pages 11–12)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, the Area Development Fee is due in a lump sum payment upon the signing of an Area Development Agreement. This fee is calculated by multiplying $35,000 by the number of Crepe De Licious restaurants to be developed under the agreement.
This fee is considered fully earned and nonrefundable by Crepe De Licious to cover administrative and other expenses incurred when entering into the Area Development Agreement. It also compensates them for lost or deferred opportunities to enter into similar agreements with other potential developers. This policy applies uniformly to all area developers.
Prospective area developers should understand that this substantial fee is nonrefundable, regardless of whether they ultimately open any Crepe De Licious restaurants. This represents a significant financial commitment and risk, so careful consideration of the development plan and market potential is essential before signing an Area Development Agreement.