Detailed Information on Saladworks’ Initial Franchise Fee, Royalty Fee + 32 Other Fees (Items 5 and 6, 2025 FDD)
1. Initial Franchise Fee: $35,000
- Saladworks offers approved prospects the right to open a Saladworks restaurant at a single location.
- If Saladworks grant you the right to open a restaurant, you must sign a franchise agreement and pay the $35,000 initial franchise fee to Saladworks when you sign the franchise agreement. The initial franchise fee is uniformly imposed and is nonrefundable when paid.
- From time to time, Saladworks may offer special incentive programs as part of its franchise development activities. Saladworks reserves the right to offer, modify, or withdraw any incentive program without notice to you.
- Saladworks currently offers a 25% discount off the initial franchise fee to active members and honorably discharged veterans of the U.S. Armed Forces, including a spouse or widow of an active member or honorably discharged veteran.
- Saladworks also currently offers a 25% discount on the initial franchise fee to first responders.
2. Architectural Plan Review Fee: $1,000
- Saladworks will provide you with its Prototype Design Package (“PDP”) at no charge.
- If you do not use Saladworks’ preferred architect, the PDP is to be used by your local architect, identified and engaged by you, to prepare site-specific scaled architectural, mechanical, electrical, and plumbing drawings for the permitting and buildout of your restaurant (“architectural plans”).
- Saladworks or a third-party vendor that Saladworks selects will review the architectural plans prepared by your local architect, including any revisions to the architectural plans, to ensure adherence to Saladworks’ standards based on the PDP.
- The fee for the architectural plan review is $1,000 and is payable when you request the PDP. The architectural plan review fee is waived if you use Saladworks’ preferred architect.
- The architectural plan review fee is uniformly imposed and is non-refundable when paid.
3. Development Fee: $35,000 multiplied by the number of restaurants to be developed pursuant to the Development Agreement
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- The Development Fee is due upon execution of your Development Agreement and is calculated as the sum of (i) $35,000, multiplied by (ii) the number of restaurants to be developed pursuant to the Development Agreement.
- The Development Fee is paid as consideration for the territorial rights you are granted within your Development Area and is not tied to any pre-opening obligations that Saladworks must otherwise fulfill. The Development Fee is uniformly imposed, is deemed fully earned when paid, and is not refundable.
4. Royalty Fee: 6% of Net Sales
- Due Date: Wednesday of each week.
5. Brand Development Fund Advertising Fee: 3% of Net Sales
- Due Date: Wednesday of each week.
6. Local Advertising and Promotion: 2% of Net Sales
- Due Date: As incurred.
7. Technology Bundle Fee: $605 to $1,400
- Due Date: Monthly.
8. Unauthorized Advertising Fee: $1,000 per occurrence
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9. Site Selection Extension Fee: $1,500
- Due Date: As incurred.
10. Maintenance/Repair/Refurbishing: actual amount incurred
- Due Date: As incurred.
11. Grand Re-Opening Marketing Fee: $5,000
12. Transfer Fee: (i) 50% of Saladworks’ then-current initial franchise fee if transferring to an existing franchisee; or (ii) 75% of Saladworks’ then-current initial franchise fee if transferring to a new third-party owner. The fee to transfer ownership among existing partners only is $2,000.
- Due Date: Before the transfer.
13. Interest: lesser of 18% per year, or highest rate allowed by law, plus $100 (In California, the highest lawful rate of interest is 10% per annum.)
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Colin started as a team member at 21 and now owns 6 locations in Tampa Bay. Lisa came from marketing and built 21 in San Diego. The most successful multi-unit owners move early and secure markets with room to grow. Use our free tool to search multiple ZIP codes and find franchises where you can still stack locations, before someone else does.- Due Date: As incurred.
14. Insufficient Funds Fee: lesser of 18% per year, or highest rate allowed by law, plus $100
- Due Date: As incurred.
15. Cost and Attorneys’ Fees: actual amount incurred
- Due Date: As incurred.
16. Audit Expenses: actual amount incurred; cost ranges from $250 to $7,500
- Due Date: As incurred.
17. Insurance: cost of insurance. If you fail to maintain your insurance as required, there is an 18% administrative cost charge if Saladworks exercises its right to procure your insurance.
- Due Date: As required by insurer or broker.
18. Renewal Fee: $17,500
- Due Date: On renewal.
19. Service Fee: $600 per day
- Due Date: As incurred.
20. Supplier Evaluation Fee: a minimum of $500
- Due Date: As incurred.
21. Annual Convention/Regional Meeting: your travel and lodging expenses
- Due Date: As incurred.
22. Failure to Attend Annual Convention/Regional Meeting: $1,000
- Due Date: As incurred.
23. Training Cancellation Fee: currently $400 per person
- Due Date: As incurred.
24. Food Safety and Operations Excellence Report Fee: actual amount incurred
- Due Date: As incurred.
25. Guest Complaint Resolution Fee: $10 to $100
- Due Date: As incurred.
26. Critical Operating Standards Violation: $250 for the second infraction; $1,000 for the third and any subsequent infractions
- Due Date: As incurred.
27. Additional Requested Store Opening Assistance and Additional Requested On-Site Assistance: currently, $500 per person per day, plus expenses
- Due Date: As requested.
28. Additional Training: travel and lodging expenses
- Due Date: As incurred.
29. Training for Replacement Personnel: travel and lodging expenses
- Due Date: As incurred.
30. Affiliate Brand License: $7,500
- Due Date: As incurred.
31. Survey Fee: actual amount incurred
- Due Date: As designated.
32. Use of Proprietary Marks: actual amount incurred
- Due Date: As designated.
33. Indemnification: actual amount incurred
- Due Date: As incurred.
34. Liquidated Damages: up to 36 months of average Royalty Fees and Brand Fund Contributions paid in 12 months prior to termination, but in any event not less than $100,000
- Due Date: Upon termination of the Franchise Agreement due to your default.
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