Mugshots
Mugshots Grill & Bar offers specialty burgers and other food/beverages under a franchise model with an investment range of $848,000 to $1,729,000. Known for casual dining restaurants, it operates in the quick-service restaurant industry.
Mugshots franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation ranges from $848,000 to $1,729,000. This includes an initial franchise fee of $50,000 that must be paid upon signing the Franchise Agreement, along with other costs such as leasehold improvements and potential security deposits [p.1, p.11, p.12].
What is the initial franchise fee?
The initial franchise fee is $50,000 and is due upon signing the Franchise Agreement; it is not refundable [p.8].
What are the ongoing royalty and advertising fees?
The ongoing fee required from franchisees includes a monthly contribution of up to 1% of their gross sales to the Marketing Fund [p.19]. This contribution is in addition to any local advertising expenses they must cover [p.10].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts.
Can I sell or transfer my franchise, and what does that require?
This isn't specified in the excerpts.
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the Franchise Agreement if the franchisee fails to obtain an approved location within 90 days after signing the Franchise Agreement or to open the Franchised Business within 180 days after signing, as specified in the Site Selection Addendum [p.20].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
Yes, you receive a defined territory which is generally described in Exhibit A of your Franchise Agreement. However, the franchisor retains the right to operate or license others to operate Mugshots Grill & Bar outside your territory and in certain specific locations within your territory, such as shopping malls, airports, transportation terminals, and entertainment facilities [p.23]. This means while you have a protected area for most operations, there are exceptions where the franchisor can still operate or authorize others to do so [p.20].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program consisting of approximately 25 days of training at their headquarters or an affiliate-owned Franchised Business in Hattiesburg, Mississippi. This training includes the use of their Manual and other operational materials. While there is no tuition fee for the training-related materials, franchisees are responsible for expenses such as travel, lodging, meals, and wages for all attendees [p.21].
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor may provide financial performance information if there is a reasonable basis for it and if the information is included in the disclosure document. However, they do not make any representations about future financial performance or past financial performance of company-owned or franchised outlets, nor authorize their employees to make such representations [p.33].
What am I restricted to selling, and where must I buy supplies?
You are restricted to selling only the menu items, products, and services that your franchisor designates for sale and authorizes for sale [p.28]. You must purchase all ingredients and supplies used at the Franchised Business from your franchisor, an affiliate, or a supplier designated or approved by them [p.13].