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Under what circumstances might Marble Slab Creamery waive or reduce the initial franchise fee?

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.

Satellites

If we permit you to operate a Satellite, you must pay us a Satellite fee of $15,000 per Satellite location when you sign the Satellite Addendum. A copy of the Satellite Addendum is attached to the Franchise Agreement. The Satellite fee is fully earned by us when paid, is not refundable and is uniform to all franchisees.

Multi-Unit Restaurant Agreement

Multi-Unit Restaurant Agreement. If you sign a Multi-Unit Restaurant Agreement, you must pay us a development fee upon execution of the agreement. Currently the development fee is equal to $25,000, multiplied by the number of Marble Slab Creamery Restaurants you must open. When we accept a site for each Restaurant, you will sign a separate Franchise Agreement. The development fee is fully earned by us when paid and is not refundable under any circumstances; provided that, if you pay us a development fee upon signing a Multi-Unit Restaurant Agreement, we will credit a portion of the development fee against the Initial Fee listed above, typically at the rate of $25,000 per Franchise Agreement until the entire development fee has been so credited. Under certain circumstances, we will agree to waive or reduce the initial development fee.

Limited Liability Companies. We (or our affiliate) may occasionally invest in individual franchised stores by acquiring an interest in the limited liability company formed to acquire the

franchise.

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 typically $25,000 for both Traditional and Non-Traditional Restaurants. However, Marble Slab Creamery may, under certain circumstances, agree to waive or reduce some or all of the initial fee. They might also accept payment in interest-free installments over a period of one to 18 months.

For Multi-Unit Restaurant Agreements, where a franchisee commits to opening multiple Marble Slab Creamery locations, a development fee is required, typically $25,000 multiplied by the number of restaurants to be opened. A portion of this development fee can be credited against the initial franchise fee for each restaurant, usually at a rate of $25,000 per franchise agreement, until the entire development fee is credited. Furthermore, Marble Slab Creamery may also agree to waive or reduce the initial development fee under certain circumstances.

Marble Slab Creamery may also waive all or a portion of these fees for affiliates, existing franchisees purchasing new restaurants, or other entities. The company may also negotiate the financial and other terms of Franchise Agreements and Multi-Unit Restaurant Agreements, but generally only in connection with large transactions. During the fiscal year ended December 31, 2024, Marble Slab Creamery collected Initial Fees ranging from $0 to $25,000 for a single restaurant and they collected development fees ranging from $0 to $15,000 for Multi-Unit Restaurant Agreements signed in connection with co-branded restaurants.

It is important for prospective franchisees to inquire about any special programs, periodic discounts, or specific circumstances that might apply to them, potentially leading to a waiver or reduction of the initial franchise fee or development fee. Understanding these possibilities can significantly impact the initial investment required to start a Marble Slab Creamery franchise.

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.