Topsail Steamer
Topsail Steamer franchises offer customizable steam pots with fresh seafood and veggies for home cooking. Known for easy-to-follow steaming instructions, this franchise targets food enthusiasts seeking convenient meal solutions in the casual dining sector.
Topsail Steamer 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 Topsail Steamer franchise ranges from $242,013 to $398,850. This includes $45,000 that must be paid to the franchisor [p.1].
What is the initial franchise fee?
The initial franchise fee is $45,000 and it is fully earned at the time the Franchise Agreement is signed; this payment is not refundable under any circumstances. [p.9, p.54]
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is 7% of Gross Revenue [p.54]. For advertising, Franchisees must spend at least 1.5% of their Gross Revenue on local advertising each month, with a maximum combined total of 4% for both brand fund contributions and local marketing/advertising expenditures [p.72].
How long is the initial franchise agreement, and can I renew it?
The term length of the initial franchise agreement isn't explicitly stated in these excerpts. However, you have the option to enter into a Successor Franchise Agreement for two additional terms of five years each after the expiration of the original term, subject to certain conditions [p.51]. This isn't specified in the provided 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 agreement on any grounds available by law [p.170]. However, termination without reasonable cause is unlawful under Virginia Retail Franchising Act [p.173], meaning that provisions for termination must comply with legal definitions of 'reasonable cause.' Additionally, if a franchisee does not complete the Initial Management Training Program to the franchisor's satisfaction, the franchisor reserves the right to terminate the agreement [p.28].
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 may face competition from other franchisees, outlets owned by the company, and other channels of distribution or competitive brands that the company controls [p.29, p.30]. This applies whether you sign a single Franchise Agreement or a Multi-Unit Development Agreement [p.29, p.30].
What training and ongoing support does the franchisor provide?
The franchisor provides initial training that includes services from instructors and materials, which are included in the Initial Franchise Fee. Ongoing support involves on-site remedial training upon reasonable request or as deemed appropriate by the franchisor, for which additional fees apply [p.28, p.57].
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 actual records of an existing outlet if you are purchasing one, but they do not make representations about future financial performance or past performance of company-owned or franchised outlets. Financial performance information can only be given with a reasonable basis and must be included in the disclosure document [p.40]. If any financial performance information is provided, it should be reported to the franchisor's management, the Federal Trade Commission, and state regulatory agencies [p.42].
What am I restricted to selling, and where must I buy supplies?
You must offer and sell all products and services that are part of the System, and any new services and products incorporated into the System in the future [p.33]. Additionally, you must purchase ingredients, prepped and/or packaged foods, paper/disposable goods, equipment, and furnishings from designated suppliers and contractors as outlined in the Operations Manual [p.18]. This includes items such as computer systems and certain software that must be purchased according to specific specifications provided by the franchisor [p.3, p.26].