In Minnesota, when does a Jack In The Box franchisee pay the franchise fee?

According to Jack In The Box's 2025 Franchise Disclosure Document, the standard procedure for franchise fee payment is modified for franchisees in Minnesota. Instead of paying the franchise fee upfront, Jack In The Box defers the payment.

Specifically, a franchisee in Minnesota is required to pay the franchise fee only when the franchised restaurant opens for business. This means that the franchisee has additional time to manage their initial investment and cash flow during the setup phase of the restaurant. This deferred payment structure is outlined in the Minnesota Franchise Agreement Amendment, which takes precedence over any conflicting terms in the standard Jack In The Box Franchise Agreement.

This arrangement is beneficial for prospective Jack In The Box franchisees in Minnesota as it reduces the initial financial burden. It allows them to allocate capital to other essential startup costs, such as construction, equipment, and initial operating expenses. This deferred payment of franchise fees until the restaurant opening reflects Minnesota's franchise laws and regulations, providing a more favorable financial entry point for franchisees in the state.