When is the payment for Initial Inventory and Supplies 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 |
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 payment for initial inventory and supplies, which ranges from $15,000 to $25,000, is due 'as agreed' with approved suppliers. This means the specific timing of the payment will depend on the agreement you negotiate with the suppliers Crepe De Licious has approved.
This 'as agreed' arrangement is common in franchising, allowing for flexibility in payment terms based on the franchisee's negotiation skills and the supplier's policies. However, it also introduces an element of uncertainty, as the franchisee will need to actively negotiate these terms. It is important to clarify these payment terms during the negotiation process to avoid any surprises later on.
Prospective Crepe De Licious franchisees should discuss payment options and due dates with the approved suppliers early in the process. Understanding these obligations is crucial for managing cash flow and ensuring a smooth opening. Franchisees should also confirm whether any deposits are required and what forms of payment the suppliers accept.