Doc Popcorn Franchise Costs, Fees & FDD

Year Business Began: 2003

Franchising Since: 2009

Headquarters: Paducah, Kentucky

Estimated Number of Units: 105

Franchise Description: Doc Popcorn Franchising L.L.C. is the franchisor. Doc Popcorn franchises sell fresh, flavored popcorn made from proprietary flavor blends in the franchisor’s proprietary packaging, soft drinks, bottled water and other approved products. Franchised businesses may be operated from non-traditional fixed-location kiosks and retail stores, each having the right to offer mobile/catering services. All franchised businesses are operated under the marks using the franchisor’s unique and proprietary system and related methods of doing business and proprietary method of preparing, marketing and selling Doc Popcorn products.
Training Overview: The franchisor provides an initial training program (PopTraining Program) in Paducah, Kentucky or at another site it designates. The PopTraining Program usually lasts approximately 4 to 10 days depending on the type of Doc Popcorn business franchisees choose to open as their first Doc Popcorn business. Franchisees (or, if franchisees are not an individual, then a managing member, partner or officer designated by the franchisee to participate personally in the franchised business) must attend and successfully complete the PopTraining Program at any point in time prior to making any sales to the public through the franchised business, unless the franchisor agrees otherwise in writing, in its sole discretion. Any person designated by franchisees to assume the primary responsibility for operating one of the individual Doc Popcorn businesses (manager) must attend and successfully complete the PopTraining Program prior to the time that franchisees make any sales to the public through their Doc Popcorn business. The franchisor may implement additional training at the Doc Popcorn businesses prior to opening a franchisee’s first location. This training would last approximately 5 to 10 days and franchisees will be responsible for all transportation and living expenses of each person who they designate to attend. The managing owner, designated manager, independent contractors and employees must attend and satisfactorily complete various training courses the franchisor periodically requires at the franchisee’s cost and at the times and locations the franchisor designates. In addition to participating in ongoing training, franchisees will be required to attend any annual meeting of all system franchisees that the franchisor may conduct. The franchisor periodically may provide and require franchisees and/or their designated manager to attend seminars or refresher training programs.

Territory Granted: The territorial protections for the franchise will depend on the type of Doc Popcorn franchise. If franchises are operating a Fixed Poperating Unit, they may operate at any location that has been approved in writing by the franchisor. If franchisees offer mobile/catering services, they may operate at any event except for a “protected event” of another franchisee. Franchisees will not receive an exclusive territory. However, the franchisor will consider the proximity when evaluating the site of another franchisee submitted for its approval.

Obligations and Restrictions: The franchisor recommends that franchisees (or, if franchisees are not an individual, then a managing member, partner or officer designated by the franchisee to participate personally in the franchised business) be the primary operator of the franchised business at all times and devote substantial full time and best efforts on a daily basis, in person, to the supervision and conduct of the franchised business. Franchisees must follow the franchisor’s policies, procedures, methods, and techniques. Franchisees must sell or offer for sale all types of services and products specified by the franchisor.

Term of Agreement and Renewal: The length of the initial franchise term is five years. Franchisees may renew the term of the agreement for two additional consecutive terms of five years each, if they are in good standing and satisfy other requirements set forth in the Franchise Agreement.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation. If franchisees are a current member of the US Armed Forces or an honorably discharged U.S. veteran and have provided sufficient proof in the form the franchisor reasonably requires, they will receive a one-time 15% discount from the initial franchise fee for their first franchise.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$15,000	$15,000
Travel and Living Expenses	$1,000	$3,550
Real Estate Lease	$1,000	$32,000
Equipment/Décor	$22,500	$100,000
Construction	$100,000	$130,000
Architect’s Fees	$0	$14,000
Opening Inventory	$4,500	$8,500
Signage	$0	$12,000
Computer System	$3,000	$6,000
Miscellaneous Opening Costs	$3,000	$12,500
Additional Funds – 3 months	$5,000	$40,000
Payroll Expenses	$20,000	$40,000
ESTIMATED TOTAL	$175,000	$413,550

Other Fees

Type of Fee	Amount
Royalty	6% of gross revenue.
Advertising Fund	1% of gross revenue.
Technology Fee	$65 per month.
Point of Sale Fee	$79 per month.
Loyalty Rewards Program Fee	Not currently charged.
Additional Training/Assistance	Then current charge (up to $500 per day, not including travel and living expenses).
Transfer	The lesser of $7,500 or 10% of the sales consideration plus any attorney fees and credit and investigation expenses incurred by the franchisor in connection with its review of and processing of the transfer. For a transfer to an existing franchisee, the lesser of $1,000 or 10% of the sales consideration per franchise sold, plus any attorneys’ fees incurred by the franchisor in connection with its review of and processing of the transfer. If franchisees add a minority owner, $1,000, plus any attorneys’ fees incurred by the franchisor in connection with its review of and processing of the transfer.
Successor/Renewal Franchise Fee	$2,500
Interest	The greater of (i) the prime rate plus 8%, (ii) 18% per annum.
Late Fee	$100 per occurrence.
Unauthorized Advertising Fee	$500 per occurrence.
Legal Costs, including Attorney’s Fees and Professional Fees	The franchisor’s actual fees and costs incurred.
Indemnification	The franchisor’s actual fees and costs incurred.
Audit Expenses	Cost of audit and inspection, any understated amounts, and any related accounting and legal expenses (the franchisor estimates this cost to be between $1,000 and $12,000).
Non-Sufficient Funds Fee	The lesser of (1) $50 per occurrence and 2.5% of the amount requested or (2) the highest amount allowed by state law.
Payment Service Fees	Up to 4% of total charge.
Promotional Materials Fee	No less than $250 per promotion.
Custom Advertising Fee	Actual costs plus 20% administration fee.
Customer Satisfaction Reimbursement	The franchisor’s actual fees and costs incurred in resolving issues.
Supplier and Product Evaluation Fee	Costs of inspection (estimated to be approximately $100 to $500).
Insurance Fee	Costs of insurance plus costs of procurement.
Web Interface Design Fee	Will vary under circumstances.
Annual Meeting Non-Attendance Fee	$1,000

The above information has been compiled from the FDD of Doc Popcorn. Year of FDD: 2025.
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