When are the Mechanical, Electrical, Plumbing, and Architectural Fees for a Crepe De Licious Kiosk due?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
Restaurant
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Paid | |
|---|---|---|---|---|---|
| Low | High | ||||
| Initial Franchise | $35,000 | $35,000 | Lump sum | Upon signing of | Us |
| Fee(1) | Franchise Agreement | ||||
| Territory | $10,000 | $10,000* | Lump Sum | Due before Franchise | Us |
| Reservation Fee(1) |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT YOUR ESTIMATED INITIAL INVESTMENT (FDD pages 18–25)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, the Mechanical, Electrical, Plumbing, and Architectural Fees, which range from $5,000 to $25,000, are due 'As agreed' with third parties. This means the payment schedule is not fixed by Crepe De Licious but is instead determined by the agreements you make with the contractors or service providers handling these aspects of your Kiosk's construction or remodeling. These fees are considered 'as incurred'.
This 'as agreed' arrangement provides some flexibility, allowing you to negotiate payment terms that suit your financial situation and project timeline. However, it also places the onus on you to manage these negotiations effectively. You'll need to carefully review contracts and understand the payment milestones to avoid potential disputes or delays in your Kiosk's development. It is important to note that these expenses are paid to third parties.
Prospective Crepe De Licious franchisees should obtain detailed quotes from multiple contractors, compare their proposed payment schedules, and factor these payment terms into their overall budget and financing plans. Understanding the local market rates for these services and the typical payment arrangements is crucial for making informed decisions and maintaining control over your initial investment. Franchisees should consult with experienced construction professionals and legal counsel to ensure fair and manageable payment terms.
Given the 'as agreed' nature of these fees, it is essential to clarify all payment terms in writing before commencing any work. This includes specifying the payment amounts, due dates, and any conditions that trigger payment milestones. Proper documentation and communication will help prevent misunderstandings and ensure a smooth construction or remodeling process for your Crepe De Licious Kiosk.