factual

What is the Minimum Sales Quota that a Fat Shack franchisee must generate?

Fat_Shack Franchise · 2025 FDD

Answer from 2025 FDD Document

ales

Beginning on the earlier of (i) the opening of the FAT SHACK Restaurant, or (ii) 1½ years from the date of this Agreement, and for each 12-month period thereafter (each period being a "Sales Quota Year"), Franchisee must generate a minimum in Gross Sales (the "Minimum Sales Quota") in the FAT SHACK Restaurant as follows:

| Sales Quota Year | Quot

Source: Item 23 — Receipts (FDD pages 53–223)

What This Means (2025 FDD)

According to the 2025 Fat Shack FDD, a franchisee must meet a minimum sales quota, but the specific amount is not listed in the provided excerpts. The FDD states that beginning either at the Fat Shack restaurant's opening or 1.5 years from the agreement date, the franchisee must meet a minimum gross sales amount for each 12-month period. This period is referred to as a 'Sales Quota Year.'

While the FDD excerpt confirms the existence of a minimum sales quota, it does not specify the actual dollar amount required. The franchisor, FSI, determines this 'Minimum Sales Quota.'

A prospective Fat Shack franchisee should ask the franchisor for the specific Minimum Sales Quota applicable to their franchise location during the due diligence process. Understanding this quota is crucial for assessing the financial viability of the franchise and setting realistic sales targets.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.