Is
Captain D’s
a franchise?
![](https://cdn.prod.website-files.com/64c645bf4e8053b433624374/65332c27e377c0f739f0c303_2381035.png)
How many
Captain D’s
franchises
are there?
![](https://cdn.prod.website-files.com/64c645bf4e8053b433624374/66107d991f23814c6e9ffc53_map-location.png)
What are the
Captain D’s
franchise
fees?
![](https://cdn.prod.website-files.com/64c645bf4e8053b433624374/65ac09f602af1193aee10d5b_payment.png)
Initial Franchise Fee ($35,000)
The initial franchise fee for a Captain D’s location is $35,000. If you are part of the Veterans Program, there's an offer for a reduced initial franchise fee of $17,500 for the veteran’s first restaurant. Additionally, depending on the number of restaurants that a developer commits to develop, the franchise fee can vary. For instance, for a commitment of 1 to 2 restaurants, the fee is $35,000, but for 16 to 20 restaurants, the fee is reduced to $17,500.
Royalty (4.5% of Gross Sales)
The royalty fee is set at 4.5% of the franchisee's gross sales made at or from the franchised site throughout the duration of the agreement.
Advertising (4% of Gross Sales)
- The advertising fee is 1.1% of gross sales. This fee can be increased up to a maximum of 2%. However, due to the COVID-19 pandemic, the advertising fee has been temporarily reduced to 1.0% of gross sales.
- In addition to the advertising fee, franchisees are required to spend each year for local market advertising, exclusive of on-site signs, a minimum of 2% of gross sales per annum. This local marketing requirement has been suspended due to the COVID-19 pandemic until further notice.
- The advertising marketing contribution can be a maximum of 4% of gross sales. Due to the COVID-19 pandemic, this contribution has been reduced to either 0.50% or 1.0% of gross sales, depending on the location of the restaurant.
Note: The fees presented here can be found in the Item 5 of the Franchise Disclosure Document. For a complete list of all the fees borne by the franchisee, please consult the Franchise Disclosure Document.
How much does
it cost
to start a
Captain D’s
franchise?
![](https://cdn.prod.website-files.com/64c645bf4e8053b433624374/65ac104b68ecdb628610f250_money.png)
Captain D’s offers a diverse range of franchising opportunities tailored to various market needs and investor preferences. Their restaurant prototypes are meticulously designed to cater to different customer bases and operational scales, and each comes with a detailed cost breakdown table:
- 44-Seat Restaurant Prototype: This traditional dining model, expandable to 62 seats, is ideal for areas with a dense customer base. The investment for this prototype ranges from $1,159,500 to $1,354,200. A comprehensive table further breaks down the costs, ensuring potential franchisees understand every aspect of the investment.
- 22-Seat Restaurant Prototype: A more compact version of the traditional dining model, this prototype is designed for locations with space constraints or a moderate customer flow. The investment for this model varies between $1,037,300 and $1,252,270, with a detailed table providing insights into each expenditure.
- Express Captain D’s Restaurant Prototype: Tailored for a fast-paced environment, this model focuses on quick service without compromising on the quality Captain D’s is renowned for. The estimated investment for this express model lies between $898,600 and $1,091,700. An accompanying table offers a granular view of the costs involved.
Investment for 44-Seat Restaurant Prototype:
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Does
Captain D’s
provide
training
to its
franchisees?
![](https://cdn.prod.website-files.com/64c645bf4e8053b433624374/65ac14bd623b9882c1587d87_online-learning.png)
Captain D’s offers comprehensive training for its franchisees. This includes:
Does
Captain D’s
provides
territory
protection?
Captain D’s, LLC grants franchisees the right to operate a Captain D’s restaurant at a specific location. The franchisee's rights are limited to the designated location and do not extend to a broader exclusive territory.
This means that while franchisees have a specific location to operate, they do not have a broader exclusive territory, and their operations are confined to the designated location.
Can a
Captain D’s
franchise
be run as
a passive
investment?
Captain D’s requires franchisees to personally participate in the direct operation of the franchised restaurant.
If the franchisee operates as a corporation or another business entity, either the franchisee or a supervisory person with at least a 10% ownership interest (or an ownership vesting plan approved by Captain D’s) must be actively involved in the restaurant's operations.
This person, known as the "Primary Contact," must attend and satisfactorily complete Captain D’s training programs.