Incentive | Development Fee | License Fee per Restaurant | Royalty Fee Rate* | Advertising and Marketing Service Fee RatesIncentives exclude 0.85% minimum AFA Fee to cover fixed expenses |
|---|---|---|---|---|
| Proximity Incentive Program (“PIP”) For franchisees who develop and open a new restaurant within 2.5 miles of their own existing restaurant. | $12,500 | $37,500 | Y1: 1% Y2: 2% Y3: 3% Y4 & Beyond: 4% | Standard Fees |
| New Restaurant Opening (“NRO”) 1-4 commitments, must open by required open date listed in DA | $12,500 | $0 | Y1-Y3: 1% Y4: 2% Y5 & Beyond: 4% | 0 – 36 Months: 75% Discount 37 – 48 Months: 50% Discount Standard Rates for the remainder of the term |
| Deeper NRO (“Deeper”) 5+ commitments, must open by Required open date listed in DA | $12,500 | $0 | 0 – 6 Months: 0% 7 – 48 Months: 1% 49 – 60 Months: 2% 61 Months & Beyond: 4% | 0 – 36 Months: 75% Discount 37 – 48 Months: 50% Discount Standard Rates for the remainder of the term |
| Select Developing Markets If sales on 1st two restaurants are below $1.3M after Y5, royalty remains at 2% until Y10 then reverts to full fees^. | $12,500 | $0 | Y1: 0% Y2-Y4: 1% Y5: 2% Y6 & Beyond: 4% | 0 – 36 Months: 75% Discount 37 – 48 Months: 50% Discount Standard Rates for the remainder of the term |
*Early Open Incentive: 0% Royalty from store opening to required open date (up to 12 months), and then incentive rates kick in. Ad fee 0.85% from store opening to required open date (up to 12 months).
^Franchisee must give 365 days notice of request to keep rates at 2%
Incentive | Development Fee | License Fee per Restaurant | Royalty Fee Rate | Advertising and Marketing Service Fee Rates |
|---|---|---|---|---|
Remodel Incentive For any remodels due in 2025 or beyond that are completed 3+ months early | $0 | $0 | Y1-Y2: 1% Y3-Y4: 2% Y5 & Beyond: 4% | Standard Fees |
Relocation Incentive For any relocations approved after 3/31/24 and opened by 12/31/26 | $0 | $0 | Y1-Y3: 1% Y4: 2% Y5 & Beyond: 4% | Standard Fees |
*See our 2023 Franchise Disclosure Document for details.
IMPORTANT CONDITIONS TO RECEIVE INCENTIVES: For each Restaurant, the CFF and/or CAF reductions set forth above, as applicable, will apply only if you satisfy the following conditions: a. You build the Restaurant in the design, to the specifications, and at the location approved by us in accordance with the SDA and/or the Franchise Agreement; b. Within one hundred twenty (120) days after the Restaurant first opens for business, you provide us with a report, in the format containing the information that we reasonably specify, identifying the amounts that you spend in various categories relating to the development and opening of the Restaurant; and c. You open the Restaurant by the Required Opening Date.
For the avoidance of doubt, if you fail to meet any of the conditions stated above for any Restaurant developed under an SDA, the CFF and CAF reductions above will not apply under the Franchise Agreement for
the Restaurant only, and you will pay the standard CFF and CAF for the entire term of that Restaurant's Franchise Agreement.
This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only.
**The JJ's 2023 Franchise Development Incentive applies to new franchise commitments sold after the March 2023 FDD is released. Based on the reported 2022 Franchised Covered Restaurants AUV of
$907,848 the value of the incentive is as follows: For each opening the incentive yields up to ~$124,000 per unit. For deals with 5 or more units, the savings increases by ~$36,000 per unit for a total of $160,000
in savings per on time opening.
For first franchisee to sign a DA in a new state^^^
$100,000 Royalty Credit
($50k will be applied to royalties due on the first store & $50k will be applied to the royalties due on the second store. Locations must open by required open dates listed in the DA)
$10,000 Royalty Credit per commitment
^^Value of remodel incentive per restaurant: ~$133k
^^^Pioneer markets are CT, DC, HI, MA, ME, NH, RI & VT
**Can be combined with other incentives.
*^Can be combined with other incentives. Applicable to honorably discharged military veterans who hold a majority ownership interest in the franchise and are new to the brand on their first development agreement up to $100,000
See our 2024 Franchise Disclosure Document for details.
IMPORTANT CONDITIONS TO RECEIVE INCENTIVES: For each Restaurant, the fee
reductions set forth above, as applicable, will apply only if you satisfy the following
conditions:
a. You build the Restaurant in the design, to the specifications, and at the location
approved by us in accordance with the Development Agreement and/or the Franchise
Agreement; b. Within one hundred twenty (120) days after the Restaurant first opens for
business, you provide us with a report, in the format containing the information that we
reasonably specify, identifying the amounts that you spend in various categories relating
to the development and opening of the Restaurant; and c. You open the Restaurant by the
Required Opening Date. For the avoidance of doubt, if you fail to meet any of the
conditions stated above for any Restaurant the fee reductions above will not apply under
the Franchise Agreement for the Restaurant only, and you will
This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only. Currently, the following states regulate the offer and sale of franchises: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. If you are a resident of or want to locate a franchise in one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your state.
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INSPIRE BRANDS IS A TRADEMARK OF INSPIRE BRANDS INC.
