About CML Franchise
Cousins Maine Lobster is a mobile food truck franchise specializing in premium lobster and seafood dishes.
The brand sources North American lobster, commonly known as Maine lobster, from American and Canadian waters and serves it from food trucks that bring high quality seafood directly to customers.
The franchise fee is $40,000, and the brand has been franchising since 2014.
CML Franchise Cost & Fees
Minimum Investment
$197K
Average Investment
$367K
Maximum Investment
$537K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | The greater of 8% of your Gross Sales or $3,500 per month. of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 2% of your Gross Sales. | National brand fund |
| Total Investment Range | $197,350 – $537,300 | Includes build-out, inventory, working capital |
The investment range of $197K–$537K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (The greater of 8% of your Gross Sales or $3,500 per month.) and marketing fee (Up to 2% of your Gross Sales.) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Application Fee | $1,000 | $5,000 |
| Deposit Account | $20,000 | $20,000 |
| Commissary Rent | $800 | $3,000 |
| Prep-Kitchen Rent | $0 | $3,000 |
| Utility Deposits | $0 | $100 |
| Food Truck & Buildout | $25,000 | $215,000 |
| Furniture, Fixtures & Equipment | $5,000 | $25,000 |
| Initial Inventory (Startup Package) | $30,000 | $80,000 |
| Signage (Including warranty fee of $300 to $400 for each of the two required digital screen) | $5,750 | $15,000 |
| Insurance | $1,000 | $5,000 |
| Office Equipment & Supplies | $250 | $2,000 |
| Computer Equipment (Hardware, Software, POS System, etc.) | $3,050 | $16,200 |
| Travel and Living Expenses for Training | $3,000 | $5,000 |
| Licenses & Permits | $2,000 | $10,000 |
| Legal & Accounting | $3,500 | $7,500 |
| General Contractor | $0 | $2,000 |
| Grand Opening Advertising | $1,000 | $2,500 |
| Additional Funds – three months | $56,000 | $81,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000, plus our expenses associated with the transfer. |
| Renewal Fee | $10,000 |
| Audit Fee | Actual cost of audit fees, plus the underreported fees, late charges on those fees, and interest on the fees you did not pay at 1.5% per month. |
| Regional Advertising Cooperative Contribution | An amount we designate, up to $400 per month. |
| Deposit Account | Amount needed to restore account to $20,000 |
| Additional Food Truck Fee | $5,000 |
| Advertising Materials | Our costs of producing advertising and promotional materials. |
| Late, Dishonored Payment, or Insufficient Funds Fee | $50 for each day your payment is late. |
| Default Fee | $300 |
| Interest | Daily equivalent of 1.5% per month simple interest of the delinquent amount or the highest rate permitted by law, whichever is less. |
| Insurance | Our cost of premiums, plus an administrative fee equal to 20% of the cost of the premiums. |
| Additional Training and Conventions | $500 per day plus travel expenses for additional onsite support; $300 per attendee additional training, national conventions, and for new, or replacement manager to attend initial training. |
| Application Fee (for transfer) | $1,000 per individual owner |
| Reimbursement of Inspection Costs | Varies. After we inspect your Food Truck. |
| Interim Royalty | Our then-current Royalty, plus 2% |
| Management Fee | The direct expenses we incur on your behalf, plus our then-current, reasonable management fee. |
| Reinspection Fee | $500 for each re-inspection, plus our travel, living, and lodging expenses. |
| System Standards Violation | All costs of inspection and audit. |
| Costs, administrative expenses, and attorneys’ fees | Will vary under circumstances |
| Trade Payable Reimbursement | Amount we pay on your behalf, plus interest at the lesser of 18% or the highest rate permitted by law. |
| Indemnification | Will vary under circumstances. |
| Sales/Use Taxes | Will vary under circumstances. |
| Liquidated Damages | The greater of: (a) $3,500; or (b) the combined monthly average of your Royalty Fees and Advertising Fund Contributions (without regard to any fee waivers or other reductions) that are owed by you to us during the six (6) month period prior to the date of early termination, multiplied by: the lesser of: (i) 24 months, or (ii) the number of full months remaining in the Term. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | up to 7 to 10 days or less |
| Classroom Training | 55 Hours |
| On-the-Job Training | 74 Hours |
| Training Location | currently held at our Los Angeles, California, and Portland, Maine locations |
| Additional Training | If you ask for (and we agree to provide) additional training, we will provide it to you for $500 per day, plus our travel expenses. If we decide that additional on-site training is necessary, we will provide it to you for $500 per day, plus our travel expenses. We have the right to charge you our then-current fee as published in the Operations Manual (currently, $500 per day). Also, you must reimburse us our reasonable travel, lodging, meals, and other expenses we incur if we conduct training away from our headquarters. If the training occurs at a place other than your Food Truck, you must pay for your (and your employees’ travel, lodging, meals, and other expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | approximately a population of 1 to 2 million people; or (ii) a 15-mile radius, in either case excluding the area within a ½ mile radius from any Storefront Cousins Maine Lobster® locations. |
| Description | Your Territory will be an area consisting of the lesser of: (i) approximately a population of 1 to 2 million people; or (ii) a 15-mile radius, in either case excluding the area within a ½ mile radius from any Storefront Cousins Maine Lobster® locations. You will operate your Food Truck only within the Territory, and you may not relocate your Territory without our permission. We will not consent to your relocation if it is within another Food Truck’s Territory. We and our affiliates retain all rights in the Territory for engaging in any activities we deem appropriate whenever and wherever we desire, including establishing or operating other Food Trucks or Storefronts at Non-Traditional Locations, or selling products through dissimilar channels of distribution. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 5 years |
| Renewal Fee | $10,000 |
| Renewal Conditions | Advance written notice, not less than 6 months or more than 9 months, to renew; sign most current form of Franchise Agreement which may contain substantially different terms and conditions than your current Franchise Agreement, including a smaller geographic Territory; each of your owners must execute a general release in the then-current form; you cannot be in default of any provision of the Franchise Agreement and not have committed two or more breaches of the Franchise Agreement during any 12-month period during the term; have the right to continue to occupy your approved location or move to a different location we approve; you must remodel your Food Truck and reimburse us for our costs to inspect it; prove that you have all current licenses, insurance, and permits; have fully performed your obligations under the Franchise Agreement, including obligation to be current in payment of all monetary obligations to us, and; be in compliance with our then-current training requirements; and pay our successor agreement fee of ten thousand dollars ($10,000). |
| Transfer Fee | $10,000 |
| Transfer Conditions | You cannot transfer the Franchise Agreement without our consent. Conditions may include: full compliance with the Franchise Agreement and payment of all outstanding fees; franchisor declined right of first refusal; transferee approved by franchisor and executes current franchise agreement or assumes existing one; payment of $10,000 transfer fee; upgrade, remodel, or replace assets to current standards; transferee completes initial training; you and owners execute general release; financing subordinate to franchisor obligations; transferee assumes all liabilities; you execute non-compete agreement. |
| Termination for Cause | We can terminate the Agreement, automatically or by notice to you, with or without a cure period, if you breach a material provision of the Franchise Agreement. Curable defaults include failure to maintain insurance, employee licensing, owner disputes, customer complaints, failure to pay amounts owed (5 days to cure), selling unapproved products (48 hours to cure, no cure for seafood/lobster), or other breaches (14 days to cure). Non-curable defaults include insolvency, bankruptcy, receivership, final judgment of $25,000+, dissolution, execution levied, property foreclosure, failure to open on time, abandonment, felony conviction, unauthorized transfer, lease cancellation, failure to comply with laws, repeated defaults, understating gross sales, material misrepresentations, refusal of audit/inspection, violation of non-compete/confidentiality, interference with relationships, intellectual property misuse, failure to pay amounts owed (5 days to cure), anti-terrorism law violations, failure of inspections, operating in another franchisee's territory, or selling unapproved seafood/soups/bread. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term and for 2 years after termination/expiration, neither you nor your Owners, Designated Manager(s), officers, directors, members, and partners will directly or indirectly own, invest in, partner with, direct, serve as an officer or director for, be employed by, act as consultant for, represent, act as an agent for, or divert or attempt to divert any customer, person, or business to, any Competitive Business anywhere. After term, this applies within 15 miles of the Territory or any Storefront then in existence or under construction, or the territory of any Food Truck then in operation. You must not solicit customers for 3 years. You may not use trade secrets in any business after franchise ends. Ownership of less than 5% of a publicly traded company is excluded. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Your Food Truck must at all times be under your direct, day-to-day, full-time supervision. If you are a legal entity, you must have a Designated Manager, approved by us. Your Designated Manager does not need to hold an equity interest in you. Your Designated Manager will be required to attend and successfully complete our initial training program. If you are a legal entity, then all your directors, members, partners, and/or officers and any individual that owns an interest in you or the Franchise Agreement must sign our Owner Agreement assuming and agreeing to be personally responsible for all of the obligations of the Franchise Agreement, and agree to be bound by the confidentiality provisions and non-competition provisions of the Franchise Agreement and agree to certain restrictions on their ownership interests. If you are married, we require your spouse to sign the Owner Agreement. |
| Required Suppliers | Our affiliate, CSD, is currently the sole authorized supplier and distributor of lobster, soups, bread, and seafood inventory. You must purchase all your lobster, seafood, bread, whoopie pies, soups, and other food items from our affiliate, currently CSD, which is the only approved supplier of these items. You must purchase beverages and various other food inventory products from suppliers and vendors that we designate or approve. We require you to purchase your POS system, Digital Signage System, Networking System, Mobile App Equipment, related software, and other technology and software products from our designated suppliers. You must purchase your employee uniforms from our approved vendor. |
| Supply Restrictions | You must purchase all your lobster, seafood, bread, whoopie pies, soups, and other food items from our affiliate, currently CSD, which is the only approved supplier of these items. All of the equipment, supplies, fixtures, and signage you purchase for your Food Truck must be approved by us and comply with our System standards and specifications. You are required to submit to us and obtain our prior approval for all advertising and promotional plans and materials, and all other materials displaying the Marks. You must obtain a merchant services account from an approved supplier for credit card processing. You must obtain and carry, at your expense, insurance policies that we periodically require protecting you and us. |
| Franchisor Revenue from Suppliers | During the fiscal year ended December 31, 2022, our affiliate, CSD, derived $23,951,328.13, or 92% of its total revenues, which totaled $26,115,649.26 from the sale of products and services to our and CMLS’s franchisees, collectively. During the fiscal year ended December 31, 2022, we derived $10,093.25, or 0.2% of our total revenues of $4,579,869, from the sale of products and services to our franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
CML Franchise Earnings — Item 19
Average Revenue
$1.4M
Median Revenue
$1.5M
Revenue Range
$498K – $2.2M
Sample Size
29 units
Past financial performance does not guarantee future results. Individual results will vary.
CML Litigation & Risk Flags
Clean Litigation RecordCML has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
CML System Growth
Total Units
44
Franchised
38
Company-Owned
6
CML currently operates 38 franchised locations and 6 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 7 | 0 | 29 |
| 2021 | 5 | 2 | 32 |
| 2022 | 9 | 3 | 38 |
Transfers: 1 | Closures: 3
Public Figures (Item 18)
The following public figures are associated with this franchise: Barbara Corcoran
State Registrations
Registered in 29 states: CA, CT, FL, GA, HI, IL, IN, IA, KY, LA, ME, MD, MI, MN, NE, NH, NY, NC, ND, OK, OR, RI, SC, SD, TX, UT, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$4.6M
Net Income
$2.2M
Total Assets
$2.3M
Audited by VELEZ HARDY CPAs and Advisors for year ending December 31st.
CML Franchise — FAQ
The total investment to open a CML franchise ranges from $197,350 to $537,300, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
CML charges a royalty fee of The greater of 8% of your Gross Sales or $3,500 per month. of gross sales, plus a Up to 2% of your Gross Sales. contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the CML Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from CML to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, CML franchise owners report average revenue of $1.4M and median revenue of $1.5M. This is based on a sample of 29 units. Past performance does not guarantee future results.
CML has been franchising since 2014. The FDD shows an investment range of $197,350-$537,300, a The greater of 8% of your Gross Sales or $3,500 per month. royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $197,350 to $537,300 depending on location size and market. A minimum of $50,000 in liquid capital is required. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from CML and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with CML or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com