Under what circumstances might Jersey Mike's waive payment of fees?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
procedures in the Manual. Company may waive payment of fees in special circumstances.
2 Grand Opening Advertising. You must pay Company a nonrefundable $12,500 ($5,000 if you are purchasing an existing Restaurant or relocating your existing Restaurant with Company approval), all of which will be used to conduct a Grand Opening Advertising program for your Restaurant. The fee is due when you sign a lease for the Restaurant or upon Company approved transfer and must be paid via your automatic clearing house (ACH) a ccount as described above. Company will consult with you about the
program, which is described in Item 11, but Company retains full discretion over expenditures made and the content of the program.
- 3 Real Estate and Construction Fee. You must pay Company $5,000 for Company's assistance with the real estate and construction processes as you develop your Restaurant.
Source: Item 6 — OTHER FEES (FDD pages 15–24)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, there are specific instances where the company may waive certain fees. Jersey Mike's may waive the $5,000 real estate and construction fee under the Experienced Franchisee Program. This suggests that franchisees with a proven track record or prior experience with the brand may be eligible for this waiver, potentially reducing their initial investment.
Additionally, Jersey Mike's may waive the $5,000 fee for general contractor and architect approval in its sole and absolute discretion. This fee covers the costs for Jersey Mike's Construction Department to communicate construction specifications and conduct site visits. The discretion to waive this fee provides Jersey Mike's with flexibility in working with franchisees, possibly based on the contractor's experience or the specific project circumstances.
Beyond these specific fees, the FDD also states that "Company may waive payment of fees in special circumstances." This clause provides Jersey Mike's with broad latitude to waive other fees depending on the situation. While the FDD does not define "special circumstances," this could include financial hardship, unforeseen events, or other factors that Jersey Mike's deems relevant. A prospective franchisee should inquire with Jersey Mike's about what specific situations might qualify for a fee waiver.