Chip FDD – Franchise Information, Costs and Fees
Type of Business
Chip® is a gourmet cookie delivery company. Chip® started as a family business seeking to deliver happiness, one cookie at a time. As a franchisee, you will operate a Chip® branded cookie baking and delivery business.
Corporate Information
Chip Partners, LLC is a Utah limited liability company, formed on April 9, 2021. They maintain a principal office address at 4752 West California Avenue, Salt Lake City, UT 84104. They began selling franchises in 2021.
Investment
The total investment necessary to begin operation of a Chip® franchised business ranges from $220,650 to $591,000. This includes the $35,000 to $45,000 that must be paid to the franchisor or an affiliate.
The franchisor may also, in its sole discretion, grant the right to develop multiple Chip stores under an area development agreement. If you are granted the right to develop multiple stores, the total investment necessary to obtain such rights depends on how many stores you agree to develop. You must pay a development fee to the franchisor according to the following schedule: $35,000 for your first store and $30,000 for each subsequent store up to five, and $25,000 for each additional store after the first five stores. You must pay the entire development fee upon execution of the area development agreement and no additional initial franchise fee will be due for the stores developed pursuant to the area development agreement. The typical number of Chip stores that we anticipate franchisees will purchase pursuant to an area development agreement is between 2 and 10. The total investment necessary for rights to begin development of this number of Chip stores ranges from $65,000 to $280,000 that must be paid to the franchisor.
