The Friendly's Franchise Disclosure Document (FDD) answers most questions regarding the franchise opportunity. The following is merely a brief response to typical inquiries. In the event of any conflict or difference in interpretation, the language in the Friendly's Franchise Disclosure Document (FDD) shall prevail. Franchise Offering is by prospectus only.
How much does a Development Agreement cost?
The Development Agreement (DA) fee is equal to $10,000 for each restaurant included in the DA and is payable upon execution of the agreement. $10,000 of the DA fee will be applied to the initial franchise fee for each restaurant opened.
How much does a franchise cost?
Initial franchise fees are $35,000 for the first two (2) restaurants and $30,000 for subsequent restaurants. Additional fees apply. All costs of building and equipping the franchised location are the franchisees responsibility. Our Franchise Disclosure Document ("FDD") provides a description of all fees and a range of estimated costs.
How much are the royalty fees?
Friendly's royalty fee is 4% of Net Sales and is paid on a monthly basis.
How much are the marketing fees?
Friendly's marketing fees are 3.5% of Net Sales and paid on a monthly basis. The marketing fee is based on Net Sales and is paid on a monthly basis. Up to 3/4% of the Franchisee contribution is allocated to marketing production costs and overhead and the remaining is used to fund advertising and promotion.
What is included in the franchise fees?
The Friendly's Franchise Disclosure Document (FDD) sets forth the initial services provided by Friendly's.
Do you offer financing for franchisees?
No. Friendly's does not finance, fund or guarantee any franchisee loans or leases. Friendly's may introduce you to lending
What support do you offer for site selection?
Real estate selection assistance, site inspection packages, and site visitation and review is offered to Franchisees. Learn more information about Friendly's Real Estate Site Criteria.
What operations assistance do you offer for opening a Friendly's Restaurant?
Friendly's requires the successful completion of an Owner's Orientation as well as a training program for the management team. A Friendly's opening team will be sent to assist the franchisee with the opening and initial operation of the restaurant. The Friendly's Franchise Disclosure Document (FDD) sets forth training and opening services provided.
What on-going operations support do you offer after the restaurant opening?
The Friendly's Franchise Disclosure Document (FDD) sets forth the on-going support services provided by Friendly's. They include an assigned Franchise Business Consultant, quality assurance visits, marketing and advertising services and many others.
What kind of marketing support do I get?
Ad production and placement, menu development, point-of-sale materials, signage and banners, and public relations announcements are only a few of the many marketing support opportunities.
How will I get my food/paper supplies?
Friendly's has a list of specified and approved products which all Friendly's restaurants are required to use. The Franchisee has two choices: (1) order all supplies through Friendly's Distribution System, or (2) purchase these supplies from an approved supplier, provided the products are either the "specified products" or "approved products". Friendly's does not permit unapproved substitutions for specified or approved products. However, certain proprietary products must be purchased from Friendly's.