Craters & Freighters Franchise Company Franchise
Cost, fees, owner earnings, closure rate and litigation for a Craters & Freighters Franchise Company franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Craters & Freighters Franchise Company discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.
What their own earnings claim actually says
No financial performance representations disclosed. Franchisor explicitly states no representations about franchisee future or past outlet financial performance authorized.
What a Craters & Freighters Franchise Company franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $35,000 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 1% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 6% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $207,000 – $390,000 | Item 7 — franchisor's own low/high estimate |
5% royalty minimum $0-$2,125/month. 1% marketing fund, $6,000-$18,000 annual ad spend, $500/month technology fee.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Craters & Freighters Franchise Company system size and owner turnover
| Total outlets | 65 |
| Ceased operations | 1 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 3 |
| Closure rate | 1.5% of outlets |
1 cessation in 2025 (Rhode Island reacquired). Low termination/non-renewal activity overall.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Craters & Freighters Franchise Company worth it? — how it compares to 436 similar franchises
| Ongoing fees | 6% of sales | lower than most (median 8%) |
| Startup cost | from $207,000 | pricier than 63% of peers |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 1.5% of outlets | about average |
| Disclosed lawsuits | 0 | fewer than most |
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Craters & Freighters Franchise Company
The franchisor's framing: No financial performance representations disclosed. Franchisor explicitly states no repres… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
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Craters & Freighters Franchise Company franchise — frequently asked
- How much does a Craters & Freighters Franchise Company franchise cost?
- The FDD lists a total initial investment of about $207,000–$390,000, including a $35,000 initial franchise fee.
- How much do Craters & Freighters Franchise Company franchise owners make?
- Craters & Freighters Franchise Company discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
- What are the Craters & Freighters Franchise Company franchise fees?
- Craters & Freighters Franchise Company's FDD discloses a $35,000 initial franchise fee, a 5% royalty on gross sales, a 1% advertising-fund contribution, for roughly 6% of gross sales in recurring fees before rent, labor, or debt service. 5% royalty minimum $0-$2,125/month. 1% marketing fund, $6,000-$18,000 annual ad spend, $500/month technology fee.
- What is the Craters & Freighters Franchise Company franchise profit margin?
- Craters & Freighters Franchise Company discloses no Item 19 earnings representation, so no profit margin can be derived from the FDD at all. Any margin figure quoted elsewhere is an estimate, not a disclosure.
- What is the Craters & Freighters Franchise Company franchise failure rate?
- 1 cessation in 2025 (Rhode Island reacquired). Low termination/non-renewal activity overall.
- How many Craters & Freighters Franchise Company locations are there?
- Craters & Freighters Franchise Company's FDD reports 65 total outlets, with 1 that ceased operations in the most recent reporting year and 3 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Craters & Freighters Franchise Company have complaints or lawsuits?
- Craters & Freighters Franchise Company discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a Craters & Freighters Franchise Company franchise worth it?
- It depends on the numbers, not the pitch. Craters & Freighters Franchise Company scores F on disclosure honesty, carries about 6% of sales in ongoing fees. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Craters & Freighters Franchise Company or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.