About Crimson Coward-IL Franchise
Crimson Coward is a Nashville hot chicken restaurant concept serving freshly prepared hot chicken entrees with various heat levels for dine in and takeout customers.
The brand has been franchising unit locations since 2020, with a franchise fee of $35,000.
The menu is built around signature recipes and a distinctive decor that creates a memorable dining atmosphere.
Crimson Coward-IL Franchise Cost & Fees
Minimum Investment
$319K
Average Investment
$400K
Maximum Investment
$481K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $35,000 | One-time payment upon signing |
| Royalty Fee | 6.5% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1.5% of Gross Revenues (National Network Marketing Fee) + Not less than $500 per month (Local Advertising and Marketing) | National brand fund |
| Total Investment Range | $318,500 – $480,500 | Includes build-out, inventory, working capital |
The investment range of $319K–$481K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6.5% of Gross Revenues) and marketing fee (1.5% of Gross Revenues (National Network Marketing Fee) + Not less than $500 per month (Local Advertising and Marketing)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Fee (Note A) | $35,000 | $35,000 |
| 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) | $20,000 | $30,000 |
| Leasehold Improvements (Note D) | $75,000 | $150,000 |
| Equipment including small wares (Note E) | $95,000 | $125,000 |
| Travel & Living Expenses While Attending Initial Training (Note B) | $1,000 | $1,500 |
| Furniture, Office Equipment & General Software, Signs | $20,000 | $30,000 |
| Grand Opening (Note F) | $6,000 | $7,500 |
| Insurance (Note G) | $15,000 | $20,000 |
| Professional Fees (Note H) | $1,500 | $3,500 |
| Opening Inventory, Supplies and Branded Items (Note I) | $10,000 | $15,000 |
| Additional Funds (3 months) (Note J) | $40,000 | $60,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | One half the THEN current Initial fee (e.g. $25,000 if current Initial Fee is $50,000); $500 if transfer to entity with identical ownership |
| Renewal Fee | One half the THEN current Initial fee (e.g. $25,000 if current Initial Fee is $50,000) |
| Technology Fee | We do not have any proprietary software at this time but reserve the right to implement in the future |
| Audit Fee | 1.5% per month interest on amount of underpayment plus the cost of the audit plus the amount of the underpayment |
| Additional Training | $3,000 per person for initial training program (beyond 2 people); $300 per day for specific extra training on site, plus travel/lodging costs |
| 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 in your state |
| Dishonored Item Fee | $75 plus reimbursement of any financial institution charge to us |
| Franchise Agreement Violation Fee | $250 first material violation if not timely corrected, then $500 subsequent violations |
| Indemnification | Will vary under circumstances |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Regional Advertising Cooperative | As determined by cooperative (if formed) |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 3-5 days (initial training) + approximately 14 days (post-opening in-store training) |
| Classroom Training | 10 |
| On-the-Job Training | 11.5 |
| Training Location | Downey, California location and at one or more operating Crimson Coward restaurant locations. |
| Additional Training | Additional people may be trained for $3,000 per person for the initial training program. Franchisor may require franchisees or employees to attend additional training at a location determined by franchisor at $300 per day. Franchisees may request additional on-site training for $300 per day plus franchisor's travel and lodging expenses. Corporate personnel will spend approximately 14 days in your store after you open for additional post-opening training. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | Yes |
| Territory Size | Approximately 5 mile radius |
| Description | Franchisee will be granted a geographic territory, generally an approximately 5-mile radius around the location. While the franchisee will not receive an exclusive territory and may face competition from other channels, the franchisor will not locate or open another Crimson Coward restaurant (company-owned or franchised) within the franchisee's territory during the term of the agreement, provided the franchisee is not in breach. Certain sites like malls, amusement parks, universities, hospitals, or similar closed area locations are excluded from the territory, where the franchisor may operate or franchise. |
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 materially different terms), update or replace equipment, retain location, remodel or refurbish, give 6 months’ notice, pay renewal fee, no unethical conduct or harm to Marks, and franchisor must still be offering franchises. Franchisee must execute a general release. |
| Transfer Fee | One half the THEN current Initial Fee; $500 if transfer to an entity with identical ownership |
| Transfer Conditions | Franchisee must be current in all fees and not in material breach, all business debts paid, transferee assumes obligations, transferee executes release of claims, franchisee executes mutual termination and general release, transferee pays transfer fee and signs then-current agreement, transferee qualifies and completes training, transferee obtains rights to location lease, and franchisor has 30-day right of first refusal. |
| Termination for Cause | Franchisor may terminate with 30 days' notice and opportunity to cure for most breaches. Immediate termination without cure is possible for: 3 material breaches of the same term within 12 months, bankruptcy, unauthorized transfer, abandonment for more than 3 consecutive days, sublicensing, entity impasse/ownership change without compliance, violation of laws/failure to obtain permits (including health codes), felony conviction, failure to operate under Marks, unethical/dishonest business dealings, failure to provide estoppel certificate, failure to maintain insurance, or termination of any other agreement for cause. |
| Non-Compete Period | 24 months after termination, expiration, or non-renewal |
| Non-Compete Details | During the term, franchisee cannot engage in any competing business (defined as any eatery selling fried spicy chicken sandwiches and meals accounting for >20% of revenues) anywhere. After the term, for 24 months, franchisee cannot compete within 20 miles of the former territory, solicit customers/vendors of franchisor/other franchisees, disclose trade secrets, or solicit/hire franchisor's/other franchisees' employees. Passive investment in publicly traded corporations (up to 5%) is allowed. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Franchisee must either devote full time and effort to managing and operating the Crimson Coward restaurant or delegate its management to a trained manager. The franchisee must reserve and exercise ultimate authority and responsibility over operation and management. If a manager is delegated, they must successfully complete the initial training program before or within thirty days of assuming the role. If the franchisee is an entity, each owner must personally guarantee the Agreement, and the entity must designate a competent manager. |
| Required Suppliers | Yes, for all equipment, supplies, inventory, and branded items necessary to start or operate the Crimson Coward restaurant. Franchisor or its affiliate may be the only approved supplier for required Equipment, Opening Inventory, Supplies and Branded items. |
| Supply Restrictions | Franchisee must purchase from approved vendors all equipment, supplies, inventory, and branded items. Franchisor may designate other approved vendors and reserves the right to approve or withdraw approval of any supplier. Franchisor or its affiliate may derive revenue and profits from franchisee’s purchases. |
| Franchisor Revenue from Suppliers | As of December 31, 2023, neither the franchisor nor its affiliate derived any revenue based on required purchases or leases by franchisees. However, the franchisor may in the future receive rebates, discounts and allowances from some vendors, ranging from 0-5% of the purchase amount, which may be placed in the National Network Marketing Fund or used for franchisee conferences/programs. |
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-IL Franchise Earnings — Item 19
Crimson Coward-IL 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-IL 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-IL Litigation & Risk Flags
Clean Litigation RecordCrimson Coward-IL 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-IL System Growth
Total Units
8
Franchised
7
Company-Owned
1
Crimson Coward-IL currently operates 7 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 0 | 0 |
| 2022 | 5 | 0 | 5 |
| 2023 | 2 | 0 | 7 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 6 states: CA, IL, MD, MI, VA, WA
Franchisor Financials (Item 21)
Revenue
$235K
Net Income
$95K
Total Assets
$811K
Audited by INDEPENDENT AUDITOR’S REPORT for year ending December 31.
Crimson Coward-IL Franchise — FAQ
The total investment to open a Crimson Coward-IL franchise ranges from $318,500 to $480,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $35,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Crimson Coward-IL charges a royalty fee of 6.5% of Gross Revenues of gross sales, plus a 1.5% of Gross Revenues (National Network Marketing Fee) + Not less than $500 per month (Local Advertising and Marketing) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Crimson Coward-IL 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-IL to ensure you have the most up-to-date version.
Crimson Coward-IL 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-IL has been franchising since 2020. The FDD shows an investment range of $318,500-$480,500, a 6.5% of Gross Revenues 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 $35,000 and the total investment ranges from $318,500 to $480,500 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-IL 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-IL or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com