factual

Is the initial franchise fee for a Marble Slab Creamery franchise refundable?

Marble_Slab_Creamery Franchise · 2025 FDD

Answer from 2025 FDD Document

Initial Franchise Fees.

If we grant you a franchise for a Traditional Restaurant, then when you sign the Franchise Agreement, you must pay us an initial franchise fee ("Initial Fee") of $25,000. The Initial Fee for a Non-Traditional Restaurant is $25,000.

Adjustments. Under certain circumstances, we will agree to waive or reduce some or all of the Initial Fee and may accept payment in installments, interest free, over a period of from one to 18 months. Also, as described below, if you are signing the Franchise Agreement pursuant to a Multi-Unit Restaurant Agreement, you may be entitled to a credit against the Initial Fee. The Initial Fee is fully earned by us when paid and is not refundable under any circumstances.

Under a separate disclosure document, our affiliate, GAC, offers franchises for its "Great American Cookies" business, including a co-branded version that can be added to a "Marble Slab Creamery" restaurant with our consent. If we allow you to do so, you will sign a Franchise Agreement with GAC and a Co-brand Addendum with us (Exhibit B-1). We do not charge you any fee to add a co-branded "Great American Cookies"restaurant, but GAC charges, among other fees, an initial franchise fee of $25,000 for the right to do so, as disclosed in its separate disclosure document.

Under a separate disclosure document, our affiliate, RTP, offers franchises for its "Round Table Pizza" business, including a co-branded version that can be added to a "Marble Slab Creamery" restaurant with our consent. If we allow you to do so, you will sign a Franchise Agreement with RTP and a Co-brand Addendum with us (Exhibit B-1). We do not charge you any fee to add a co-branded "Round Table Pizza" restaurant, but RTP charges, among other fees, an initial franchise fee of $25,000 for the right to do so, as disclosed in its separate disclosure document.

We do not offer financing for the Franchise Fee. Except for any special programs or periodic discounts we may offer or as otherwise described in this Item 5, the Initial Fee is uniform for all franchisees.

During our fiscal year ended December 31, 2024, we collected Initial Fees ranging from $0 to $25,000 for a single restaurant and we collected development fees ranging from $0 to $15,000` for Multi-Unit Restaurant Agreements signed in connection with co-branded restaurants.

Source: Item 5 — INITIAL FEES (FDD pages 21–23)

What This Means (2025 FDD)

According to Marble Slab Creamery's 2025 Franchise Disclosure Document, the initial franchise fee is generally not refundable. For a traditional or non-traditional restaurant, the initial franchise fee is $25,000. This fee is fully earned by Marble Slab Creamery upon payment and is explicitly stated as non-refundable under any circumstances.

However, the FDD does mention some potential adjustments to the initial fee. Marble Slab Creamery may, under certain circumstances, waive or reduce the initial fee, and may even accept payment in installments over a period of one to 18 months without interest. Additionally, if a franchisee is signing the Franchise Agreement as part of a Multi-Unit Restaurant Agreement, they may be entitled to a credit against the initial fee.

For franchisees considering adding a co-branded Great American Cookies or Round Table Pizza to their Marble Slab Creamery location, it's important to note that while Marble Slab Creamery does not charge a fee for this add-on, their affiliates GAC and RTP do charge an initial franchise fee of $25,000 for their respective brands, as detailed in their separate disclosure documents. Furthermore, the development fee paid under a Multi-Unit Restaurant Agreement is also non-refundable, though a portion of it may be credited against the initial franchise fee at a rate of $25,000 per Franchise Agreement until the entire development fee is credited.

In summary, while the standard initial franchise fee for Marble Slab Creamery is $25,000 and is non-refundable, prospective franchisees should explore potential opportunities for fee adjustments, reductions, or installment plans, especially if considering a Multi-Unit Restaurant Agreement. It is crucial to carefully review the terms and conditions outlined in the Franchise Agreement and any related addenda to fully understand the fee structure and refund policies.

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.