About Makers Union Franchise
Makers Union is a casual dining franchise styled as a modern neighborhood pub, offering a menu of traditional American dishes with a creative twist alongside a full service bar.
The concept features lunch, dinner, happy hour ("The People's Hour"), and brunch with both a la carte and family style options, creating a lively, celebratory atmosphere that draws a broad range of guests.
The franchise fee is $60,000 for the first restaurant and $40,000 for additional locations.
Makers Union Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $60,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of your Gross Revenue for the preceding week (Brand Fund Fee, may increase to 2%); 1% of your Gross Revenue for the preceding month (Marketing Spending Requirement, may increase to 3%) | National brand fund |
| Total Investment Range | $1,100,000 – $2,400,000 | Includes build-out, inventory, working capital |
The investment range of $1.1M–$2.4M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Revenue) and marketing fee (1% of your Gross Revenue for the preceding week (Brand Fund Fee, may increase to 2%); 1% of your Gross Revenue for the preceding month (Marketing Spending Requirement, may increase to 3%)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Franchise Fee (2) | $60,000 | $60,000 |
| Real Estate Project Management (3) | $0 | $10,000 |
| Rent and Security Deposit (4) | $26,000 | $55,000 |
| Utility Deposits (5) | $500 | $2,000 |
| Design, Architectural, and Engineering Fees (5) | $12,000 | $40,150 |
| Leasehold Improvements (6) | $488,800 | $1,098,800 |
| Signage, Mural, and Menu Boards (7) | $66,000 | $85,150 |
| Furniture, Fixtures, and Equipment (8) | $393,700 | $944,400 |
| Technology System (9) | $5,000 | $17,500 |
| Initial Inventory (10) | $7,500 | $15,000 |
| Licenses and Permits (11) | $3,000 | $10,000 |
| Professional Fees (12) | $3,000 | $5,000 |
| Insurance (13) | $1,500 | $5,000 |
| Training Expenses (14) | $8,000 | $15,000 |
| Grand Opening Advertising (15) | $5,000 | $7,000 |
| Additional Funds, 3 Months (16) | $20,000 | $30,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $5,000 |
| Renewal Fee | $25,000 |
| Audit Fee | Our costs and expenses, including costs for an independent accountant and attorneys’ fees and related travel and living expenses (if audit shows understatement of Gross Sales for 2% or more) |
| Marketing Spending Requirement | 1% of your Gross Revenue for the preceding month (may increase to 3%) |
| Late Fee and Interest | 18% per annum or maximum interest rate allowed by law (whichever is less) from due date to date of payment, plus $100 for each week that a payment is paid after the due date |
| Relocation Fee | $15,000 |
| Initial Training Fee for Additional or Replacement Trainees | $1,500 per trainee |
| Additional Training Programs | Varies based on program; typically $1,500 to $3,500 |
| In-Person Consulting Services | $500 per employee or agent for each full or partial day, plus their travel and living expenses |
| Management Fee | 10% of your Gross Revenue during the period of management, plus any direct out of pocket costs and expenses |
| Mandatory Seminars, Conventions or Programs | Reasonable registration fee for you and any employees who attend (estimated range $500-$2,500 per person) |
| Product, Service, Supplier, and Service Provider Review | The lesser of $1,500 or our actual cost of the inspection and our actual cost of testing |
| Insurance | Cost of the premium plus a $500 fee for our services in procuring the insurance |
| Mystery Shopper Program | A reasonable fee as defined in the Manuals, which shall not exceed $1,500 |
| Inspection | Our actual expenses incurred in inspecting your business, including travel and living expenses, wages, and other expenses for our representatives |
| Remedial Expenses | Our actual expenses incurred in correcting your operational deficiencies |
| Indemnification | Amount of our liabilities, fines, losses, damages, costs and expenses (including attorneys’ fees) |
| Enforcement Expenses | Our reasonable cost of de-identifying your Franchised Restaurant |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 15 days |
| Classroom Training | 24 |
| On-the-Job Training | 96 |
| Training Location | Reston, VA |
| Additional Training | We may periodically conduct mandatory or optional training programs for your Required Trainees and/or your employees at our office or another location that we designate. We may require attendance at two training programs per year of at least two days duration per program at a specified location, which may require travel. A reasonable fee may be charged for such additional training programs. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Area (non-exclusive) |
| Exclusive Territory | No |
| Territory Size | Determined by us in our sole discretion, may be a specified radius, zip codes, streets, landmarks, or county lines. No minimum Protected Area. |
| Description | Once a site is secured, we will provide a Protected Area, unless it's a Non-Traditional Restaurant. You will not receive an exclusive territory and may face competition from other franchisees, company-owned outlets, or other channels of distribution. However, during the term of the Franchise Agreement, we will not operate or authorize others to operate a Makers Union restaurant within your Protected Area, except for Non-Traditional Restaurants. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Two additional consecutive successor terms of five years each |
| Renewal Fee | $25,000 |
| Renewal Conditions | Written notice of intent to renew 6-12 months prior to expiration; full compliance with all agreements; no pending or threatened litigation; refurbishment/renovation to current standards; execution of then-current franchise agreement and ancillary agreements; execution of a general release; completion of current training requirements; securing right from landlord to continue operating at the site; and payment of the Successor Fee. |
| Transfer Fee | $5,000 (50% deposit, 50% at closing) |
| Transfer Conditions | Payment of Transfer Fee; all monetary obligations satisfied; no default under agreements; execution of a general release; transferor remains liable for pre-transfer obligations; transferor remains bound by intellectual property, indemnification, and noncompete covenants; landlord consent to lease transfer; transferee meets qualifications, training requirements, and signs new franchise agreement; transferee upgrades restaurant to current specifications; transferee covenants to continue operation under Marks; transferee owners execute personal guarantee; purchase price and payment terms do not adversely affect operation. |
| Termination for Cause | Material misrepresentation; failure of Required Trainees to complete initial training; failure to secure site by deadline; failure to open on time; failure to timely renovate; failure to maintain site possession; suspension of operations for more than two consecutive business days without consent; failure to communicate with franchisor; Designated Principal/Operating Managers miss two or more required meetings; conviction of felony, moral turpitude, consumer fraud, or other adverse crime/offense; misuse/unauthorized use of Intellectual Property; disclosure of Proprietary Information; non-compliant transfer; violation of noncompete covenants; failure of health/safety inspections or threat to public health/safety; insolvency/bankruptcy; failure to pay suppliers/trade creditors over $2,000 for more than 60 days; failure to pay taxes; underreporting Gross Revenue by 2% (twice in 2 years) or 5% (any period); refusal to permit inspection/audit; failure to file reports three times in 12 months; default under any Related Agreement; or three or more defaults within any 18-month period. |
| Non-Compete Period | During the Term and for two years after expiration or termination |
| Non-Compete Details | During Term: Franchisee and Owners may not own, manage, be employed by, advise, make loans to, lease to, or have any interest in a Competitive Business (casual dining table service restaurant with American-style menu and full-service bar, or entity granting franchises/licenses for such businesses) anywhere in the United States; divert business/customers; or perform acts injurious to goodwill. Post-Term: Same restrictions, but geographically limited to a 20-mile radius of the former Franchised Restaurant or any other Makers Union restaurant operating or under development at that time. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | You must appoint an individual Owner with at least a 10% ownership interest as your Designated Principal, who must be approved by us and have authority over all business decisions. While active engagement is recommended, the Designated Principal or any Owners are not required to be directly involved in day-to-day operation and management. The Designated Principal must be available when the restaurant is open for business. At least one Certified Manager must be on-premises during business hours. |
| Required Suppliers | Currently, we require you to purchase certain food, fountain beverages, paper products, furniture, fixture, and equipment from approved suppliers that we have designated. |
| Supply Restrictions | We have the right to require that products, supplies, Operating Assets, and services meet specifications, be a specific brand/kind/model, be purchased/leased only from expressly approved suppliers/service providers, be purchased/leased only from a single designated source (which may include us or our affiliates or a buying cooperative), and/or be purchased as part of a purchasing program/arrangement/contract we negotiate or specify. |
| Franchisor Revenue from Suppliers | We or our affiliates may receive revenues or profits or other material consideration from the purchases you make from us, our affiliates, or from other approved suppliers. Rebates currently range between 0.5% and 2% of the purchases made by franchisees of certain products. |
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 other obligations. |
Makers Union Franchise Earnings — Item 19
Makers Union 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.
Makers Union Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Makers Union System Growth
Makers Union currently operates 0 franchised locations and 3 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 1 |
| 2023 | 2 | 0 | 3 |
| 2024 | 1 | 1 | 3 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by BDO USA, P.C. for year ending Last Sunday of December.
Makers Union Franchise — FAQ
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