Raze
Raze's Graze Craze franchise specializes in grazing-style cuisine, offering customizable charcuterie boxes and platters tailored to various dietary needs. Known for flexibility and diverse meal options, it operates in the growing food trend sector.
Raze franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a single Graze Craze franchise ranges from $167,059 to $325,608. This includes $119,394 to $137,383 that must be paid to the franchisor or its affiliates [p.1].
What is the initial franchise fee?
The initial franchise fee is not specified in a single amount across all provided excerpts; it varies based on circumstances. Generally, upon signing the Agreement, Franchisee shall pay an initial franchise fee as stated on the Summary Page [p.86], which is non-refundable [p.19]. The exact amount can depend on factors such as whether there are any deposits credited towards it or specific circumstances where fees might be waived or reduced [p.29, p.19].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is a weekly payment equal to 6% of Gross Revenues [p.86]. Additionally, franchisees must contribute to an Advertising Fund for system-wide advertising and related expenses [p.26], while also conducting their own local marketing efforts as described in Item 11 [p.41].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts. The FDD does not provide details about the duration of the initial franchise agreement or the conditions for renewal.
Can I sell or transfer my franchise, and what does that require?
According to the FDD, a franchisor can generally refuse to permit the transfer of ownership of a franchise except for good cause [p.6(g)]. Good cause includes but is not limited to unspecified criteria. This means you may need approval from the franchisor before selling or transferring your franchise.
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on any grounds available by law [p.184]. However, under Virginia's Retail Franchising Act (Section 13.1-564), termination without reasonable cause is unlawful. Good cause for termination includes failure to comply with lawful provisions of the franchise agreement and not curing such failures after notice and a reasonable opportunity to cure [p.6(c)]. Additionally, RCW 19.100.180 or court decisions may supersede the terms regarding termination and renewal [p.189, p.206, p.223].
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?
No, you do not receive an exclusive territory. You have a protected territory where the franchisor will not operate another Graze Craze® Store, but you may face competition from other franchisees, outlets owned by the franchisor, or other competitive brands [p.46]. Additionally, there are no minimum or maximum size requirements for your development area [p.47].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program that lasts 4 to 5 weeks and is held at their offices in West Palm Beach, Florida [p.29]. This includes one round trip airfare, hotel accommodations, and daily meals for one person during the initial training. Additional travel, accommodation, and living expenses are the responsibility of the franchisee for any additional attendees [p.29]. The franchisor may designate other stores as 'Certified Training Stores' in the future to conduct training programs, but this is not required [p.44]. For performance obligations related to the franchise fees, control transfers to the franchisee upon completion of training and delivery of equipment [p.159].
How many franchised outlets are there, and how many have closed or been terminated?
The FDD does not specify the total number of franchised outlets or how many have closed or been terminated. This information is not provided in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor is permitted to provide financial performance information if there is a reasonable basis for it and if such information is included in the disclosure document. However, the franchisor does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets, nor do they authorize their employees or representatives to make such representations [p.58].
What am I restricted to selling, and where must I buy supplies?
You are required to offer for sale only goods and services approved by the franchisor, and you must offer all goods and services that the franchisor requires. You may have to purchase or lease certain items from the franchisor or a limited group of suppliers they designate; these items might be more expensive than those available elsewhere [p.4].