About Crimson Coward (VA-Unit) Franchise
Crimson Coward is a restaurant franchise inspired by Nashville hot chicken, serving freshly made hot chicken entrees for dine in and takeout.
The brand brings bold, spicy flavors to the fast casual dining space, targeting customers who crave high quality, flavorful chicken with distinctive heat levels.
The franchise fee is $50,000, and the company has been franchising since 2020.
Crimson Coward (VA-Unit) Franchise Cost & Fees
Minimum Investment
$258K
Average Investment
$377K
Maximum Investment
$496K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $50,000 | One-time payment upon signing |
| Royalty Fee | The greater of 6.5% of Gross Revenues or $3700 per month for first 3 months; then greater of 6.5% of Gross Revenues or $5,500 per month. If monthly Gross Revenues are over $150,000 royalties will be 7.5%; If monthly Gross Revenues are over $200,000, royalties will be 8%; If monthly Gross Revenues are over $250,000, royalties will be 9%. of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | The greater of 3.5% of Gross Revenues or $1,500 per month for the first 3 months; then the greater of 3.5% of Gross Revenues or $2,500 per month. (Network Marketing Fee) | National brand fund |
| Total Investment Range | $258,000 – $495,500 | Includes build-out, inventory, working capital |
The investment range of $258K–$496K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (The greater of 6.5% of Gross Revenues or $3700 per month for first 3 months; then greater of 6.5% of Gross Revenues or $5,500 per month. If monthly Gross Revenues are over $150,000 royalties will be 7.5%; If monthly Gross Revenues are over $200,000, royalties will be 8%; If monthly Gross Revenues are over $250,000, royalties will be 9%.) and marketing fee (The greater of 3.5% of Gross Revenues or $1,500 per month for the first 3 months; then the greater of 3.5% of Gross Revenues or $2,500 per month. (Network Marketing Fee)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Fee (Note A) | $50,000 | $50,000 |
| Initial Training Fee (for up to 2 people trained at the same time) (Note B) | $0 | $3,000 |
| Rent & Security Deposit (3 Months) (Note C) | $15,000 | $30,000 |
| Leasehold Improvements (Note D) | $50,000 | $150,000 |
| Equipment including small wares (Note E) | $75,000 | $125,000 |
| Travel & Living Expenses While Attending Initial Training (Note B) | $500 | $1,500 |
| Furniture, Office Equipment & General Software, Signs | $15,000 | $30,000 |
| Grand Opening (Note F) | $4,000 | $7,500 |
| Insurance (Note G) | $10,000 | $20,000 |
| Professional Fees (Note H) | $1,000 | $3,500 |
| Opening Inventory, Supplies and Branded Items (Note I) | $7,500 | $15,000 |
| Additional Funds (3 months) (Note J) | $30,000 | $60,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | One half the THEN current Initial fee. For example if the current Initial Fee at the time you want to transfer is $50,000 then the Transfer fee will be $25,000. Fee is $500 if you transfer to a corporation or other entity with the same identical ownership and control. |
| Renewal Fee | One half the THEN current Initial fee. For example if the current Initial Fee at the time you want to renew is $50,000 then the Renewal fee will be $25,000. |
| Technology Fee | We do not have any proprietary software at this time but reserve the right to implement in the future. If we institute this fee it will likely be due on a monthly basis. |
| Audit Fee | 1.5% per month interest on amount of underpayment plus the cost of the audit plus the amount of the underpayment. Costs of audit payable only if an audit reveals that you have under reported Gross Revenues by 2 percent or more. |
| Local Advertising and Marketing | Not less than $500 per month. |
| Cooperative Advertising | As determined by cooperative |
| Additional Training | $3,000 per person for the initial training program. $300 per day for specific extra training on site, plus travel/lodging costs of franchisor. |
| Convention or Regional meetings | Varies from 0-$1000 depending on the length of the meetings |
| Ongoing inventory and menu items | Varies According to purchase terms |
| Late Payment/Interest | Late charge equal to 5% of payment due, together with interest at one percent (1%) per month, not to exceed highest legal rate. |
| Dishonored Item Fee | $75 plus reimbursement of any financial institution charge to us |
| Franchise Agreement Violation Fee | $1,000 per offense, in the case of health and safety violation, you must also comply with a remedial program. |
| Indemnification | Will vary under circumstances |
| Costs and Attorneys Fees | Will vary under circumstances |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | approximately 21.5 hours |
| Classroom Training | 10 |
| On-the-Job Training | 11.5 |
| Training Location | Our Downey, California location and at one or more operating Crimson Coward restaurant locations. |
| Additional Training | Corporate personnel will spend approximately 14 days in your store after you open for additional post-opening training. We may require you or your employees to attend additional training at a location we determine at $300 per day. You may request additional on-site training for $300 per day plus our travel and lodging expenses. Additional employees beyond the 2 your franchise fee covers, for an additional $3,000 per employee. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | approximately 5-mile radius |
| Description | Your Territory will generally be approximately 5-mile radius around your location but may be less depending on population for the surrounding area. Exclusions are: Home shows, trade fairs, exhibitions and online product sales of related industry equipment. We also reserve the right to open a Crimson Coward restaurant in such areas inside your territory: Malls, amusement parks, universities, hospitals, or similar closed area locations or facilities. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One 10-year additional term |
| Renewal Fee | One-half the THEN current Initial Fee |
| Renewal Conditions | Be in good standing, sign new agreement, which may contain terms and conditions materially different than your original contract, update or replace equipment, retain location, remodel or refurbish, give 6 months’ notice and pay a fee of one-half the THEN current Initial Fee, no unethical conduct or otherwise cause harm to Marks, We must still be offering franchises. |
| Transfer Fee | One-half the THEN current Initial Fee. Fee is $500 if you transfer to a corporation or other entity with the same identical ownership and control. |
| Transfer Conditions | You are current in all fees to us; You are not in material breach of the Agreement; You have paid all debts of your business; new Franchisee signs release of claims against Us for representations You made; You sign a mutual termination and release of the Agreement; We receive transfer fee One-half the THEN current Initial Fee; new Franchisee signs the then-current form of Agreement, new Franchisee qualifies; new Franchisee successfully completes initial training program; new Franchisee obtains rights to your location lease, if applicable; and we receive 30 day right of first refusal. The fee to transfer to an entity with identical ownership is $500. |
| Termination for Cause | We may terminate only for cause. You have 30 days to cure any breach not listed as non-curable. Non-curable defaults include: repeated defaults, even if cured; bankruptcy; assignment for benefit of creditors; abandonment of business; failure to correct health code violation; premises shut down by government/landlord; felony conviction; unethical/dishonest business dealings; termination of any other agreement for cause. |
| Non-Compete Period | 24 months |
| Non-Compete Details | During the term, no involvement in a “competing business” anywhere (any eatery which sells fried spicy chicken sandwiches and meals which accounts for more than 20% of revenues). After termination/expiration, for 24 months, you must not compete within 20 miles of your Territory, solicit/divert customers/vendors/employees of franchisor or other franchisees, or disclose trade secrets. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | You must either devote your full time and effort to managing and operating the Crimson Coward restaurant or delegate its management or operation to a trained manager and must reserve and exercise ultimate authority and responsibility over operation and management. If you delegate management and operation to a manager, the manager must first successfully complete our initial training program before, or within thirty days after assuming the role of manager. If you are a corporation or other entity, each owner must personally guaranty the Agreement and the entity must designate a competent manager. We do not require the designated manager to be an equity owner of the franchised business. |
| Required Suppliers | You must purchase from us or our affiliate, all the equipment, supplies, inventory, and branded items necessary to start or operate the Crimson Coward restaurant. We and our affiliate are the only approved vendor for required purchases of the equipment supplies, inventory and branded items. |
| Supply Restrictions | We may designate other approved vendors, which must meet our specifications. We issue specifications in writing and incorporate them in the Operations Manual. These specifications include quality, accuracy, preparation, installation, application, operations. We may publish a list of other approved vendors in the Operations Manual. We may approve other vendors if you request it in writing or if a vendor requests it and if the vendor demonstrates to our satisfaction that it is financially stable and can provide product(s) or service(s) that meet our specifications and that are consistent with our image. We reserve the right to disapprove any previously approved vendor whose performance falls below our standards. |
| Franchisor Revenue from Suppliers | Since we have not yet sold any franchises, neither we nor our affiliate derived any revenue based on required purchases or leases by franchisees made in accordance with our specifications, in our last fiscal year. Because of common industry practices, we may in the future receive rebates, discounts and allowances from some vendors with whom you do business. We will place such monies in either the Network Marketing Fund or use them to cover the cost of franchisee conferences and conventions and franchisee incentive programs. We anticipate that such rebates, discounts and allowances may range from zero percent to as high as fifteen (15%) percent of the amount of your purchase of certain items. |
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. |
Crimson Coward (VA-Unit) Franchise Earnings — Item 19
Crimson Coward (VA-Unit) does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Crimson Coward (VA-Unit) does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Crimson Coward (VA-Unit) Litigation & Risk Flags
Clean Litigation RecordCrimson Coward (VA-Unit) 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.
Crimson Coward (VA-Unit) System Growth
Total Units
2
Franchised
0
Company-Owned
2
Crimson Coward (VA-Unit) currently operates 0 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 1 | 0 | 1 |
| 2020 | 0 | 0 | 1 |
| 2021 | 1 | 0 | 2 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 2 states: California, Virginia
Franchisor Financials (Item 21)
Revenue
$300K
Net Income
$246K
Total Assets
$348K
Crimson Coward (VA-Unit) Franchise — FAQ
The total investment to open a Crimson Coward (VA-Unit) franchise ranges from $258,000 to $495,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $50,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Crimson Coward (VA-Unit) charges a royalty fee of The greater of 6.5% of Gross Revenues or $3700 per month for first 3 months; then greater of 6.5% of Gross Revenues or $5,500 per month. If monthly Gross Revenues are over $150,000 royalties will be 7.5%; If monthly Gross Revenues are over $200,000, royalties will be 8%; If monthly Gross Revenues are over $250,000, royalties will be 9%. of gross sales, plus a The greater of 3.5% of Gross Revenues or $1,500 per month for the first 3 months; then the greater of 3.5% of Gross Revenues or $2,500 per month. (Network Marketing Fee) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Crimson Coward (VA-Unit) 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 Crimson Coward (VA-Unit) to ensure you have the most up-to-date version.
Crimson Coward (VA-Unit) does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Crimson Coward (VA-Unit) has been franchising since 2020. The FDD shows an investment range of $258,000-$495,500, a The greater of 6.5% of Gross Revenues or $3700 per month for first 3 months; then greater of 6.5% of Gross Revenues or $5,500 per month. If monthly Gross Revenues are over $150,000 royalties will be 7.5%; If monthly Gross Revenues are over $200,000, royalties will be 8%; If monthly Gross Revenues are over $250,000, royalties will be 9%. royalty, and no 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 $50,000 and the total investment ranges from $258,000 to $495,500 depending on location size and market. 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 Crimson Coward (VA-Unit) and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Crimson Coward (VA-Unit) or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com