Mellow Mushroom FDD – Franchise Information, Costs and Fees
Type of Business
The franchise offered is to operate a Mellow Mushroom® restaurant, which features pizza and sells other food products, beverages, clothing, souvenirs, and novelty items.
Corporate Information
Home-Grown Industries of Georgia, Inc. d/b/a Mellow Mushroom incorporated in Georgia in 1975. Their principal business address is 150 Great Southwest Parkway, Atlanta, Georgia 30336. They have offered Mellow Mushroom restaurant franchises since approximately May 1987.
Investment
The total investment necessary to begin operation of a Mellow Mushroom® restaurant franchise ranges from $1,710,000 to $2,606,500 if you lease shell premises for the Restaurant, from $1,710,000 to $2,806,000 if you lease premises for the Restaurant that must be retrofit, and from $2,926,000 to
$4,731,500 if you buy the real estate upon which you will construct a new building for the Restaurant. This includes between $82,000 and $94,000 that must be paid to the franchisor or affiliate. If you want development rights (a minimum of 2 Restaurants), you must pay us a development fee equal to $50,000 (the initial franchise fee for the first Restaurant) plus a $25,000 deposit for each additional Restaurant’s initial franchise fee. The total investment necessary to begin operation if you acquire development rights (for a minimum of 2 Restaurants) is $1,735,000 to $4,756,500 (depending on your real estate decision). This includes $107,000 to $119,000 that must be paid to the franchisor or affiliate.
