About Lazy Lobster Franchise
Lazy Lobster is a seafood franchise that has been offering business opportunities since 2021, featuring multiple format options including mobile, brick and mortar, and biergarten models.
The brand specializes in fresh lobster rolls and seafood dishes, bringing New England style seafood to markets across the country in a casual, approachable setting.
The franchise fee varies by business type: $12,500 for a mobile unit, $25,000 for a brick and mortar location, and $35,000 for a biergarten concept.
Lazy Lobster Franchise Cost & Fees
Minimum Investment
$116K
Average Investment
$417K
Maximum Investment
$719K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $12,500 - $35,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Revenue or $750-$1,000 per month minimum of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Revenue (Brand Fund), 1% of Gross Revenue (Local Marketing Requirement), 1%-2% of Gross Revenue (Cooperative Advertising Programs) | National brand fund |
| Total Investment Range | $116,250 – $718,500 | Includes build-out, inventory, working capital |
The investment range of $116K–$719K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Revenue or $750-$1,000 per month minimum) and marketing fee (1% of Gross Revenue (Brand Fund), 1% of Gross Revenue (Local Marketing Requirement), 1%-2% of Gross Revenue (Cooperative Advertising Programs)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Travel and Living Expenses While Training | $500 | $3,000 |
| Rent (1 Month) | $3,000 | $10,000 |
| Lease, Utility, & Security Deposits (3 months) | $8,500 | $20,500 |
| Equipment, Furniture, Fixtures, and Office Set Up | $100,000 | $155,000 |
| Construction of Leasehold Improvements | $50,000 | $250,000 |
| Inventory, Supplies, and uniforms | $20,500 | $31,000 |
| Business Licenses and Permits | $1,000 | $6,000 |
| Grand Opening | $2,500 | $5,000 |
| Computer, POS System, Internet, Phone, Security | $2,000 | $15,000 |
| Insurance (3 months) | $1,000 | $3,000 |
| Architectural/Engineering | $3,000 | $10,000 |
| Signage | $2,500 | $15,000 |
| Accountant and Attorney Fees | $4,000 | $10,000 |
| Additional Funds (3 Months) | $75,000 | $150,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $10,000 |
| Technology Fee | $200 per month |
| Audit Fee | Cost of inspection |
| National Franchise Convention Fee | $500 Annually |
| Owners’ Manual Replacement Fee | $250 As incurred |
| Additional Training or Assistance | $500 - $2,000 per day (currently not charged, but reserved right to collect) |
| Relocation Assistance | Cost of relocation |
| Product and Service Purchases | See Item 8 |
| Late Payment | One and a half percent (1.5%) interest per month, or maximum allowed by law |
| Post-Termination or Post-Expiration Expenses | Our actual cost |
| Software Maintenance Costs | Actual costs of software maintenance if applicable |
| Testing of Products or Approval of new Suppliers | Not to exceed $1,000 When billed |
| Interest (on overdue amounts) | Lesser of 1.5% per month or highest commercial contract interest rate law allows |
| Maintenance and Refurbishing of Business | You must reimburse our expenses |
| Insurance | You must reimburse our costs |
| Insufficient Funds | $75 As incurred |
| Cost of Enforcement | All costs including reasonable attorneys’ fees |
| Management Fee | $250 per person per day (plus costs and expenses) |
| Indemnification | Will vary |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Two (2) weeks |
| Classroom Training | 24 Hours |
| On-the-Job Training | 89 Hours |
| Training Location | Sea Bright, New Jersey or East Rockaway, New York for corporate training; at your location for on-site training. |
| Additional Training | Franchisor may charge for training newly-hired personnel, refresher courses, annual conventions, and additional/special assistance. Franchisees are responsible for trainees' salaries, benefits, travel, lodging, and meal expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Territory around an Approved Location |
| Exclusive Territory | No |
| Territory Size | A circle having a diameter of three (3) miles or 50,000 people, whichever is greater |
| Description | The Approved Location of a single franchise will be at the center of the Territory. While territorial rights restrict the franchisor from establishing or licensing another Lazy Lobster Business at any physical location in your Territory, the franchisor may operate other channels of distribution (e.g., Internet) and non-traditional locations (e.g., airports, stadiums) within your Approved Territory, and may face competition from other franchisees or company-owned outlets outside your specific location. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | Ten (10) years |
| Renewal Term | One (1) Ten (10) year term |
| Renewal Fee | $10,000 |
| Renewal Conditions | Good standing; timely advance notice; payment of renewal fee; signing of new Franchise Agreement (potentially with different terms); current on payments; signing of release; and modernization of Business to meet current standards. |
| Transfer Fee | $10,000 |
| Transfer Conditions | All accrued monetary and outstanding obligations satisfied; not in default; transferor executes general release; transferee meets franchisor's educational, managerial, business, moral character, business reputation, credit rating, aptitude, financial resources, and capital standards; transferee has not operated a competitive business; transferee executes new franchise agreement (potentially with different terms/fees); transferor remains liable for pre-transfer obligations; transferee and/or personnel complete training; franchisor approves transfer agreement terms; transfer fee paid. |
| Termination for Cause | Franchisor can terminate if franchisee misuses marks/system, has direct/indirect interest in confusingly similar business, fails to provide signed non-compete, attempts unauthorized transfer, makes material misrepresentations, acts without prior written approval, ceases operations (unless due to specific acts of God), fails to permanently correct a breach after two requests, poses public health/safety threat, becomes insolvent/bankrupt, pleads guilty/no contest to felony or crime involving moral turpitude, maintains false books/records, submits false reports, offers product/service without consent, or fails to offer designated product/service. Also, failure to make any payment when due (5 days notice) or failure to submit timely information/begin operation/perform other obligations (30 days notice). |
| Non-Compete Period | Two (2) years |
| Non-Compete Details | During the term of the franchise, no direct or indirect interest in a Competitive Business. After expiration or termination, no competing business for two (2) years at the Approved Location, within 25 miles of the Approved Location, or within 25 miles of another Lazy Lobster Business (including after assignment). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | If you are an individual, you or a trained manager must personally manage the franchised business at all times. If you are a legal entity, your Operating Principal or a trained manager must personally manage the franchised business at all times. All managers must attend and successfully complete initial training. |
| Required Suppliers | Yes, franchisees must purchase certain items from Approved Suppliers or suppliers meeting franchisor's specifications. |
| Supply Restrictions | Franchisor may designate sole suppliers for certain products/services and reserves the right to derive revenue from franchisee purchases. |
| Franchisor Revenue from Suppliers | $0 |
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 any of your obligations. |
Lazy Lobster Franchise Earnings — Item 19
Lazy Lobster 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.
Lazy Lobster 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.
Lazy Lobster Litigation & Risk Flags
Clean Litigation RecordLazy Lobster 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.
Lazy Lobster System Growth
Total Units
2
Franchised
0
Company-Owned
2
Lazy Lobster currently operates 0 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 0 | 1 |
| 2021 | 0 | 0 | 1 |
| 2022 | 1 | 0 | 2 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
0
Net Income
$-4,633
Total Assets
$70K
Audited by Divine, Blalock, Martin & Sellari, LLC for year ending December 31, 2022.
Lazy Lobster Franchise — FAQ
The total investment to open a Lazy Lobster franchise ranges from $116,250 to $718,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $12,500 - $35,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Lazy Lobster charges a royalty fee of 5% of Gross Revenue or $750-$1,000 per month minimum of gross sales, plus a 1% of Gross Revenue (Brand Fund), 1% of Gross Revenue (Local Marketing Requirement), 1%-2% of Gross Revenue (Cooperative Advertising Programs) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Lazy Lobster 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 Lazy Lobster to ensure you have the most up-to-date version.
Lazy Lobster 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.
Lazy Lobster has been franchising since 2021. The FDD shows an investment range of $116,250-$718,500, a 5% of Gross Revenue or $750-$1,000 per month minimum 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 $12,500 - $35,000 and the total investment ranges from $116,250 to $718,500 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 Lazy Lobster and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Lazy Lobster or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com