Does Marble Slab Creamery require franchisees to obtain specific insurance coverages?
Marble_Slab_Creamery Franchise · 2025 FDDAnswer from 2025 FDD Document
amounts with local authorities.
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- We require you to obtain and keep in force certain insurance coverages on a primary noncontributory basis, with us and our affiliates named as an additional insured on each policy. Your real estate lease also may impose requirements for insurance coverage in addition to the requirements that we impose. The table contains the estimated cost of required insurance premiums for a 3 month start-up period; however, the cost of insurance varies, depending on the insurance company you select, lease requirements, variances in the cost of insurance from city to city and state to state, and other factors. Whether or not amounts paid for insurance premiums are refundable is determined by individual insurance carriers and the terms of the insurance policies.
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- This amount represents the range of your initial start-up expenses over the first 3 months of operation. These figures include estimated payroll costs. However, they do not include the salary for a Restaurant manager, on the assumption that you will manage the Restaurant.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 32–43)
What This Means (2025 FDD)
According to Marble Slab Creamery's 2025 Franchise Disclosure Document, franchisees are required to obtain and maintain certain insurance coverages. These coverages must be held on a primary noncontributory basis, and Marble Slab Creamery and its affiliates must be named as additional insured parties on each policy. Additionally, the franchisee's real estate lease may impose further insurance coverage requirements beyond those mandated by Marble Slab Creamery.
The FDD includes an estimated cost for required insurance premiums for the first 3 months of operation, ranging from $2,500 to $3,500. However, the actual cost of insurance can vary significantly. Factors influencing the cost include the insurance company selected, specific lease requirements, and differences in insurance costs across various cities and states. The refundability of insurance premiums is determined by the individual insurance carriers and the terms of the specific insurance policies.
Prospective Marble Slab Creamery franchisees should carefully consider these insurance requirements and obtain quotes from multiple insurance providers to understand the potential costs in their specific location. It is also important to review the real estate lease agreement to identify any additional insurance obligations. Understanding these costs is crucial for accurate financial planning and ensuring compliance with both Marble Slab Creamery's requirements and the lease terms.