Source: FranopolisFat Shack
The Business
SourcesThe current franchisor began offering franchises in February 2015.
2026 FDD · PDF Page 11 · Item 1 · View Source
Read More About The Business
The franchisor was formed on February 20, 2013 as a Delaware limited liability company under the name of Fat Shack America, LLC.
2026 FDD · PDF Page 9 · Item 1 · View Source
Read Source Excerpts
We have offered franchises for FAT SHACK Restaurants since February 2015.
Source NotesWe were formed on February 20, 2013 as a Delaware limited liability company under the name of Fat Shack America, LLC.
What It Costs
SourcesYour location, business format and operating plan can change the total.
Where Your Startup Money Goes
| Cost | Disclosed Amount | Source |
|---|---|---|
| Business Insurance | $2,000 to $6,000 | 2026 FDD · PDF Page 18 Business Insurance (See Note 17) $2,000 $6,000 |
| TOTAL ESTIMATED INITIAL INVESTMENT | $183,250 to $487,600 | 2026 FDD · PDF Page 18 TOTAL ESTIMATED INITIAL INVESTMENT (See Note 19) $183,250 $487,600 |
| Architectural Design and Professional Fees | $2,500 to $20,000 | 2026 FDD · PDF Page 17 Architectural Design and Professional Fees (See Note 4) $2,500 $20,000 |
| Pre-Opening Hiring and Training of Employees | $3,000 to $10,000 | 2026 FDD · PDF Page 18 Pre-Opening Hiring and Training of Employees (See Note 15) $3,000 $10,000 |
| Opening Marketing | $1,000 to $10,000 | 2026 FDD · PDF Page 18 Opening Marketing (See Note 16) $1,000 $10,000 |
| Furnishings and Equipment | $40,000 to $90,000 | 2026 FDD · PDF Page 17 Furnishings and Equipment (See Note 5) $40,000 $90,000 |
| POS System | $6,000 to $12,000 | 2026 FDD · PDF Page 18 POS System (See Note 8) $6,000 $12,000 |
| Opening Inventory and Supplies | $6,000 to $15,000 | 2026 FDD · PDF Page 18 Opening Inventory and Supplies (See Note 10) $6,000 $15,000 |
| Signs | $5,000 to $12,500 | 2026 FDD · PDF Page 17 Signs (See Note 6) $5,000 $12,500 |
| Initial Franchise Fee | $35,000 | 2026 FDD · PDF Page 17 Initial Franchise Fee (See Note 1) $35,000 $35,000 |
| Security Surveillance System | $500 to $4,000 | 2026 FDD · PDF Page 18 Security Surveillance System (See Note 9) $500 $4,000 |
| Lease Costs | $4,000 to $15,000 | 2026 FDD · PDF Page 17 Lease Costs (See Note 2) $4,000 $15,000 |
| Smallwares and Print Materials | $9,500 | 2026 FDD · PDF Page 18 Smallwares and Print Materials (See Note 11) $9,500 $9,500 |
| Development Fee | $5,000 to $15,000 | 2026 FDD · PDF Page 21 Development Fee $5,000 to $15,000 |
| Additional Funds - 3 months | $15,000 to $30,000 | 2026 FDD · PDF Page 18 Additional Funds - 3 months (See Note 18) $15,000 $30,000 |
| Space Acquisition and Leasehold Improvements | $50,000 to $200,000 | 2026 FDD · PDF Page 17 Space Acquisition and Leasehold Improvements (See Note 3) $50,000 $200,000 |
| Computer, Software and Office Equipment | $750 to $2,000 | 2026 FDD · PDF Page 17 Computer, Software and Office Equipment (See Note 7) $750 $2,000 |
| Security Deposits, Utility Deposits, Business Licenses | $3,000 to $10,000 | 2026 FDD · PDF Page 18 Security Deposits, Utility Deposits, Business Licenses (See Note 12) $3,000 $10,000 |
Line items are shown as disclosed. Some costs overlap or apply to different formats; do not add them together without reviewing the source.
SourcesKey Franchise Fees
- Royalty
- 6% of your Gross Sales
View Disclosed Terms
Fees And Payment Terms
| Fee | Disclosed Terms | Source |
|---|---|---|
| Site Acquisition Extension Fee | $500 for each of the second and third 90-day extensions up to a total of 2 extensions following the first 90-day extension for which there is no charge | 2026 FDD · PDF Page 16 |
| Management Fee | 3% of Gross Sales plus our direct out-of-pocket costs and expenses | 2026 FDD · PDF Page 14 |
| Initial Starting Package | You will be required to pay us $9,500 for this initial starting package. | 2026 FDD · PDF Page 13 |
| Lease Review Fee | If we are required to review three or more leases or purchase agreements, you must pay us a $750 fee (“ Lease Review Fee ”) plus our out-of-pocket costs of reviewing and (if we so choose) negotiating the lease. | 2026 FDD · PDF Page 13 |
| Marketing and Promotion Fee | 1½% of your Gross Sales | 2026 FDD · PDF Page 14 |
| Royalty | 6% of your Gross Sales | 2026 FDD · PDF Page 14 |
| Relocation Fee | 25% of the then-current Initial Franchise Fee | 2026 FDD · PDF Page 15 |
| Transfer Fee – Franchise Agreement | $10,000 for transfer of each of your Franchise Agreements | 2026 FDD · PDF Page 14 |
| Noncompliance Service Charge | No charge for first written notice of noncompliance, up to $150 per event of noncompliance for second notice, up to $500 per event of noncompliance for third notice, and up to $1,000 per event of noncompliance for fourth and later notices | 2026 FDD · PDF Page 16 |
| Costs of Inspection and Audit | Cost of audit, underpayment amount, late payment charges and interest. Varies according to your location ... If you commit an Act of Deception ... minimum of $10,000 | 2026 FDD · PDF Page 15 |
| Initial Franchise Fee – first Franchise Agreement | You must pay an initial franchise fee of $35,000 for the first Franchise Agreement that you sign, and $18,000 for each subsequent Franchise Agreement that you sign (“ Initial Franchise Fee ”). | 2026 FDD · PDF Page 12 |
| Interest and Late Payment Charges | Lesser of 1½% per month or highest rate of interest allowed by law, plus a $50 late filing charge | 2026 FDD · PDF Page 15 |
| Additional Meeting Fee | Will vary, but will not be more than $1,000 per Additional Meeting | 2026 FDD · PDF Page 15 |
| Initial Franchise Fee – subsequent Franchise Agreements | You must pay an initial franchise fee of $35,000 for the first Franchise Agreement that you sign, and $18,000 for each subsequent Franchise Agreement that you sign (“ Initial Franchise Fee ”). | 2026 FDD · PDF Page 12 |
| Transfer Fee – undeveloped FAT SHACK Restaurant | $5,000 for each undeveloped FAT SHACK Restaurant for transfer of Development Agreement | 2026 FDD · PDF Page 14 |
| Transferee On-site Assistance Fee | $500 per day for each day on-site assistance is provided by us to a transferee | 2026 FDD · PDF Page 14 |
| Insufficient Funds Fee | $50 per violation | 2026 FDD · PDF Page 16 |
Some fees apply only to a specific event or service. These are not all monthly expenses.
SourcesSee how the disclosed startup costs fit your cash, reserves, and financing plans.
Training & Support
SourcesThe franchisor estimates that the typical length of time between the date you sign the Franchise Agreement and the date your FAT SHACK Restaurant opens will be three to 12 months.
2026 FDD · PDF Page 33 · Item 11 · View Source
Read The Disclosed Requirements
You must remit to the franchisor a Marketing and Promotion Fee, in the amount of 1½ percent of Gross Sales.
2026 FDD · PDF Page 29 · Item 11 · View Source
You will need at least two cash register terminals in your POS System, but may need more terminals depending on the size of your space, counter space and design of your Restaurant Location.
2026 FDD · PDF Page 31 · Item 11 · View Source
Read Source Excerpts
We estimate that the typical length of time between the date you sign the Franchise Agreement and the date your FAT SHACK Restaurant opens will be three to 12 months.
You must remit to us a Marketing and Promotion Fee, in the amount of 1½ percent of Gross Sales.
Source NotesYou will need at least two cash register terminals in your POS System, but may need more terminals depending on the size of your space, counter space and design of your Restaurant Location.
The Franchise Network
SourcesReported At Year-End 2025
| Year | Franchised At Year-End | Source |
|---|---|---|
| 2023 | 24 | 2026 FDD · PDF Page 48 · Item 20 |
| 2024 | 24 | 2026 FDD · PDF Page 48 · Item 20 |
| 2025 | 28 | 2026 FDD · PDF Page 48 · Item 20 |
These are reported outlet counts, not available territories or a measure of profitability. A dash means a count is not available in this record.
Review The Source Figures
2023 Year-End Counts
Franchised 2023 24 24 0
2024 Year-End Counts
Franchised 2024 24 24 0
2025 Year-End Counts
SourcesFranchised 2025 24 28 +4
Inside The FDD
SourcesPlain-language summaries of the available FDD information. Each summary links to its source, with original excerpts available to review.
Sources
The Franopolis report provides the source research. FDD page references identify the supplied excerpts when available.
01The Business And Its Ownership
The current franchisor began offering franchises in February 2015.
2026 FDD · PDF Page 11 · Item 1 · View Source
The franchisor was formed on February 20, 2013 as a Delaware limited liability company under the name of Fat Shack America, LLC.
2026 FDD · PDF Page 9 · Item 1 · View Source
Read Source Excerpts
We have offered franchises for FAT SHACK Restaurants since February 2015.
Source NotesWe were formed on February 20, 2013 as a Delaware limited liability company under the name of Fat Shack America, LLC.
02The Leadership Team
The leadership team listed in the FDD includes Kevin J. Gabauer (CFO, Executive Vice President and Board Member) and Cory J. Whitman (Director of Franchising).
2026 FDD · PDF Pages 11, 12 · Item 2 · View Source
Read Source Excerpts
CFO, Executive Vice President and Board Member: Kevin J. Gabauer
Source NotesDirector of Franchising: Cory J. Whitman
03Disclosed Legal Proceedings
This FDD reports no litigation that requires disclosure under Item 3.
2026 FDD · PDF Page 12 · Item 3 · View Source
Read Source Excerpts
Source NotesNo litigation is required to be disclosed in this Item.
07Estimated Startup Investment
The FDD estimates a total startup investment of $183,250 to $487,600. Review the listed costs and any conditions before setting your own startup budget.
2026 FDD · PDF Page 18 · Item 7 · View Source
Read Source Excerpts
Source NotesTOTAL ESTIMATED INITIAL INVESTMENT (See Note 19) $183,250 $487,600
11Support, Training And Advertising
The franchisor estimates that the typical length of time between the date you sign the Franchise Agreement and the date your FAT SHACK Restaurant opens will be three to 12 months.
2026 FDD · PDF Page 33 · Item 11 · View Source
You must remit to the franchisor a Marketing and Promotion Fee, in the amount of 1½ percent of Gross Sales.
2026 FDD · PDF Page 29 · Item 11 · View Source
You will need at least two cash register terminals in your POS System, but may need more terminals depending on the size of your space, counter space and design of your Restaurant Location.
2026 FDD · PDF Page 31 · Item 11 · View Source
Read Source Excerpts
We estimate that the typical length of time between the date you sign the Franchise Agreement and the date your FAT SHACK Restaurant opens will be three to 12 months.
You must remit to us a Marketing and Promotion Fee, in the amount of 1½ percent of Gross Sales.
Source NotesYou will need at least two cash register terminals in your POS System, but may need more terminals depending on the size of your space, counter space and design of your Restaurant Location.
14Patents, Copyrights And Proprietary Information
No patents or pending patent applications are material to the franchise.
2026 FDD · PDF Page 32 · Item 14 · View Source
The Operations Manual and other materials that contain the Marks or are otherwise proprietary to the franchisor must be returned to the franchisor if the Franchise Agreement expires or is terminated for any reason.
2026 FDD · PDF Page 32 · Item 14 · View Source
Read Source Excerpts
No patents or pending patent applications are material to the franchise.
Source NotesThe Operations Manual and other materials that contain the Marks or are otherwise proprietary to us must be returned to us if the Franchise Agreement expires or is terminated for any reason.
16Products And Services You Can Sell
You will not fill “Wholesale Orders,” sell products or services off-premises, other than catering and delivery services, on the Internet or by other electronic communications methods, by mail order or through catalogs, or transship, repackage or reship products without the franchisor’s prior written consent.
2026 FDD · PDF Page 33 · Item 16 · View Source
Read Source Excerpts
Source NotesYou will not fill “Wholesale Orders,” sell products or services off-premises, other than catering and delivery services, on the Internet or by other electronic communications methods, by mail order or through catalogs, or transship, repackage or reship products without our prior written consent.
18Public Figures
The franchisor says it currently does not use public figures to promote this franchise.
2026 FDD · PDF Page 37 · Item 18 · View Source
Read Source Excerpts
Source NotesWe do not presently use any public figures to promote our franchise.
20Franchise Locations
At the end of 2025, the FDD reports 28 franchised locations. These are reported locations, not a count of territories available to buy.
2026 FDD · PDF Page 48 · Item 20 · View Source
Read Source Excerpts
Source NotesFranchised 2025 24 28 +4
Find The Right Business For The Life You Want.
You don’t have to compare every brand on your own. A franchise consultant can help narrow your options and work through what ownership would ask of you.
Bring your questions about this brand, your priorities and the kind of business you want to run.
Your Role
Understand the hours, sales and people responsibilities behind the ownership model.
Your Shortlist
Spend less time sorting through brands and more time on options worth exploring.
Your Market
Check territory options with franchisors and identify the next questions to ask.
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