factual

What is the range for the Fat Shack Development Fee?

Fat_Shack Franchise · 2025 FDD

Answer from 2025 FDD Document

Type of Expenditure Amount Column 3 When Due To Whom Payment Is To Be Made
Method of Payment
Development Fee $5,000 - $15,000 Lump Sum When you sign Development Agreement Us

Source: Item 7 — Estimated Initial Investment (FDD pages 18–22)

What This Means (2025 FDD)

According to Fat Shack's 2025 Franchise Disclosure Document, the Development Fee ranges from $5,000 to $15,000. This lump sum payment is due when you sign the Development Agreement with Fat Shack. The Development Agreement grants you the right to develop one to three Fat Shack restaurants, in addition to your initial Fat Shack restaurant.

It's important to note that the Development Fee is non-refundable. If you acquire the right to open more than three additional Fat Shack restaurants under the Development Agreement, your Development Fee will increase beyond the stated range. The FDD specifies that the initial franchise fee for each subsequent Fat Shack restaurant opened under the Development Agreement is $18,000.

Fat Shack will apply $5,000 of the Development Fee for each additional restaurant towards the Initial Franchise Fee. The balance of each Initial Franchise Fee for the additional Restaurants to be developed under the Development Agreement is due upon the earlier of the execution of the Franchise Agreement for that Restaurant or the deadline for signing the Franchise Agreement for that particular Fat Shack Restaurant. The initial investment to open each of the restaurants under the Development Agreement is not included in this chart and is described separately in Chart A of Item 7.

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.