About Fun BeerKing Franchise
Fun BeerKing is a craft beer and entertainment franchise concept that launched in 2024.
The brand combines a curated selection of craft beers with a fun, social atmosphere designed to attract groups, casual drinkers, and craft beer enthusiasts.
Each location creates a lively setting where guests can explore a rotating tap list and enjoy a unique nightlife or leisure experience.
Fun BeerKing Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $35,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Sales | National brand fund |
| Total Investment Range | $332,000 – $580,000 | Includes build-out, inventory, working capital |
The investment range of $332K–$580K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Sales) and marketing fee (2% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee (1) | $35,000 | $35,000 |
| Real Estate Security/ Deposits and Initial Rent (2) | $5,000 | $35,000 |
| Construction and leasehold improvements (3) | $150,000 | $250,000 |
| Design and architecture (4) | $12,000 | $20,000 |
| Equipment, Furniture and Fixtures (5) | $35,000 | $75,000 |
| Opening Inventory (6) | $20,000 | $30,000 |
| Insurance (7) | $5,000 | $15,000 |
| Opening Promotion and Grand Opening (8) | $5,000 | $10,000 |
| Cash Registers/Other Office Equipment (9) | $3,000 | $15,000 |
| Initial Training Expenses (10) | $0 | $5,000 |
| Business Licenses, Utility Deposits, Prepaid Fees (11) | $2,000 | $10,000 |
| Additional Funds – 3 months (12) | $60,000 | $80,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Varies, includes $2,500 Transfer Review Fee and 50% of initial franchise fee |
| Renewal Fee | $15,000 |
| Technology Fee | Up to $250 per month (currently not assessed) |
| Audit Fee | Cost of inspection or audit (reimbursed if understatement > 2%) |
| Additional Training | Currently $100 per hour per instructor (maximum 2 instructors, 8 hours per day), plus travel and lodging expenses; amount is based on current rate and subject to change (up to 25% increase annually). |
| Remodeling, Repair and Improvements under the Franchise Agreement | Costs as incurred to purchase and install any required fixtures, furniture, equipment, banners, and/or signs from us or our affiliates (not to exceed $75,000). |
| Site Evaluation Costs | Actual costs |
| Alternative Supplier Testing Fee | Based on our actual cost |
| Late Payment | Late charge equal to 5% of payment due, together with interest at 2% per month (not to exceed highest legal rate) |
| Dishonored Item Fee | $100 plus reimbursement of charge a financial or other institution imposes on us |
| Non-Compliance Fine | Our then-current fee (from $25 to $300 for a single violation, but may vary based on the severity of violations, number of violations, and repetition of violations) |
| Repeated Inspection Fee | Cost of inspection |
| Non-Compliance of Covenant Not to Compete | $1,000 per week |
| Securities Offering Review Fee | Actual costs |
| Management Fee | 20% of Gross Sales (plus the expenses of the Outlet, including reasonable compensation and expenses for Franchisor’s representative, to be charged) |
| Liquidated Damages | Actual costs |
| Indemnification | Actual costs |
| Costs and Attorneys’ Fees | Actual costs |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately one week |
| Classroom Training | 11 hours |
| On-the-Job Training | 30 hours |
| Training Location | Corporate Outlet (currently, Glenview, Illinois) or another location designated by Franchisor |
| Additional Training | Refresher courses are available at $100 per hour per instructor, plus travel, lodging, and meals. Additional and/or refresher training programs, including national and regional conferences, conventions, and meetings, may be required. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Radius of 1/2 to 5 miles from your Outlet, or 1/4 to 1/2 mile in a 'City Center Zone' depending on population density. |
| Description | The franchise grants a specific non-exclusive territory in which the franchisor agrees not to operate or permit others to operate a Fun BeerKing Outlet. The proposed boundaries will be a radius around your Fun BeerKing Outlet, which will vary depending on whether your Outlet is located in an urban, suburban or rural setting. Factors such as population size, ethnic make-up, persons per household, income level, residential/commercial mix, traffic patterns, parking, access, neighboring business mix, rent and leasing terms, and size, appearance and other physical characteristics of the premises, and presence of any other nearby Fun BeerKing Outlets will be considered. You are not granted any other option, right of first refusal or similar right to acquire additional Franchised Outlets. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | One additional term of 5 years |
| Renewal Fee | $15,000 |
| Renewal Conditions | Franchisor may extend or grant a new Franchise Agreement if you have been in substantial compliance. You must provide notice of intent to renew 12-18 months prior to expiration, may have to remodel the Outlet, and must sign a new Franchise Agreement which may contain materially different terms. |
| Transfer Fee | Varies, includes $2,500 Transfer Review Fee and 50% of initial franchise fee |
| Transfer Conditions | For control transfers, franchisee must give 90 days' notice, pay all sums owed, not be in material default, transferee must meet franchisor's requirements, execute required documents (including new franchise agreement and personal guarantee), and landlord must consent. For non-control transfers, franchisee must give prior written notice, pay all sums owed, not be in default, transferee meets qualifications, execute assignment and guaranty, and pay a Transfer Review Fee. |
| Termination for Cause | Franchisor can terminate for various reasons, including refusal to permit inspection/audit (24-hour cure), public health/safety threat (24-hour cure), product adulteration/misrepresentation (24-hour cure), failure to comply with laws (24-hour cure), selling unapproved products (5-day cure), failure to open on time (5-day cure), non-compliance with restrictive covenants (5-day cure), failure to pay debts (10-day cure), failure to obtain required covenants (10-day cure), uncured default in other agreements (10-day cure), lease default/loss of possession (10-day cure), violation of confidential information, felony conviction, abandonment, repeated defaults, insolvency, or unauthorized use of marks. |
| Non-Compete Period | 2 years after termination or expiration |
| Non-Compete Details | During the term of the agreement and for two years after termination/expiration, franchisee and owners cannot divert customers, solicit franchisor employees, or operate a competitive business within 10 miles of any Fun BeerKing Outlet. They also cannot contact former suppliers/vendors/customers for competitive purposes. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | If an individual, you must devote full time and attention to supervising all administrative and operational activities. If a legal entity, the person with a controlling interest (or a designated 'Operating Principal' with at least 10% ownership and decision-making authority) must devote full time and attention. An 'Approved Manager' (full-time employee) is also required to supervise the outlet. |
| Required Suppliers | Franchisees must purchase Proprietary Products and Branded Products, as well as Outlet’s equipment requirements, from Designated Suppliers (Franchisor, its affiliates, and/or other specified exclusive sources). |
| Supply Restrictions | The source for almost all of your purchases is restricted in some way. Franchisor has the absolute right to limit the suppliers with whom you may deal. |
| Franchisor Revenue from Suppliers | None in 2023 |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Franchisor does not provide financing. |
Fun BeerKing Franchise Earnings — Item 19
Fun BeerKing 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.
Fun BeerKing 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.
Fun BeerKing System Growth
Fun BeerKing currently operates 0 franchised locations and 0 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 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 18 states: CA, MD, CT, MI, HI, MN, IL, NE, IN, SD, NY, TX, ND, VA, OR, RI, WA, WI
Franchisor Financials (Item 21)
Audited by KYJ, LLP for year ending December 31st.
Fun BeerKing Franchise — FAQ
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