When is the Grand Opening Advertising fee due for a Jersey Mike's franchise?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Continuing Royalty Fees | 6.5% of Gross Receipts for a standard franchise agreement | Payable weekly via wire transfer. Frequency of payment is subject to change. | See Definition of Gross Receipts.1 |
| Grand Opening Advertising2 | $12,500; $5,000 for transfers or relocations | Due when you sign lease; upon Company approved transfer | To be spent during the first month of operation |
| Real Estate and Construction Fee3 | $5,000 | Due when you sign lease | Paid to Company for its assistance with the real estate and construction processes |
Source: Item 6 — OTHER FEES (FDD pages 15–24)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, the Grand Opening Advertising fee is due when you sign a lease for the restaurant or upon a company-approved transfer. The standard fee is $12,500, but it is reduced to $5,000 if you are purchasing an existing restaurant or relocating your existing restaurant with company approval.
This fee is non-refundable and must be paid via your automatic clearing house (ACH) account. Jersey Mike's will use this fee to conduct a Grand Opening Advertising program for your restaurant. While Jersey Mike's will consult with you about the program, they retain full discretion over expenditures made and the content of the program.
It is important to note that establishing an automatic clearing house (ACH) account is mandatory before or at the same time you acquire an interest in the real property. This account will be used for various payments, including Continuing Royalty Fees, advertising contributions, amounts due for purchases, and the Grand Opening Advertising Fee. Franchisees must ensure sufficient funds are available in the account to cover weekly withdrawals for royalties, advertising, and other amounts owed.