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| Franchise Information Overview |
| Estimated
cost to open a store |
Estimated
Amount or Estimated Low-High Range |
When
Payable |
Method
of Payment |
Whether
Refundable |
To Whom
Paid |
| Initial Franchise Fee (1) |
$30,000 |
$30,000 plus $20,000 per each Restaurant
on signing the Development Agreement and the
balance for each Restaurant on signing the
Franchise Agreement |
The development fee will be paid in a lump
sum atthe time of signing the Development
Agreement and will be applied to reduce the
balance due to a lump sum of $40,000 for
each Restaurant
except the first Restaurant for which no additional
payment will be due |
No |
Us |
| Real Estate Brokerage Fees (2) |
Generally paid by landlord |
Upon satisfaction of lease/purchase contingencies |
As Incurred |
No |
Real Estate Broker |
| Professional Fees (3) |
$500 to $2,000 |
Prior to execution |
As Incurred |
No |
Attorneys and Accountants |
| Construction/Leasehold Improvements (4) |
$400,000 to $500,000 |
As Incurred |
As Agreed |
No |
Outside Suppliers |
| Furniture, Fixtures and Equipment (5) |
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As Incurred |
As Agreed |
No |
Outside Suppliers and Affiliates |
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| Expenditures |
Estimated
Amount or Estimated Low-High Range |
When
Payable |
Method
of Payment |
Whether
Refundable |
To Whom
Paid |
| Restaurant Manager POS System (6) |
$10,000 to $20,000 |
When system is installed |
Lump Sum |
No |
Us |
| Pre-training Charges (7) |
$0 to $5,000 |
As incurred |
As Incurred |
No |
Us, Our Affiliates or Third Parties |
| On-Site Support Fee (8) |
$1,000 to $2,500 |
As incurred |
Lump Sum |
No |
Us |
| On-Site Installation Fee |
$2,000 to $3,000 |
When Designated Software is installed |
Lump Sum |
No |
Us |
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No |
Us |
| Software Enhancement Fee |
None currently |
Quarterly |
Lump Sum |
No |
Us |
| Signage |
$5,000 to $10,000 |
As Incurred |
As Agreed |
No |
Outside Suppliers |
| First Month's Rent (10) |
$7,000 to $12,000 |
As specified in lease or sublease |
Lump Sum |
No |
Landlord |
| Security Deposit and other deposits, Insurance
Premium (10)(11) |
$7,000 to $12,000 |
On signing lease or sublease |
Lump Sum |
Yes |
Landlord |
| Opening Inventory and Supplies (12) |
$5,000 to $10,000 |
As Incurred |
As Agreed |
No |
Us, Our Affiliates or Outside Suppliers |
| Grand Opening Advertising (13) |
$2,000 to $5,000 |
As Incurred |
Lump Sum |
No |
Advertising Sources |
| Training Expenses (14) |
$5,000 to $10,000 |
As Incurred |
As Incurred |
No |
Third Parties |
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No |
Third Parties |
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| Expenditures |
Estimated
Amount or Estimated Low-High Range |
When
Payable |
Method
of Payment |
Whether
Refundable |
To Whom
Paid |
| TOTAL ESTIMATED INITIAL INVESTMENT
(PRE-OPENING) (17) |
$474,500 to $621,500 |
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| Additional Funds - 3 months (16) |
$15,000 to $25,000 |
As incurred |
As Incurred |
No |
Third Parties |
| TOTAL ESTIMATED INITIAL INVESTMENT
(PRE-OPENING AND FIRST 3 MONTHS OF OPERATION)
(17) |
$489,500 to $646,500 |
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