Frequently Asked Questions

How much is the franchise fee?

The fee is $7,500 payable as follows: $2,500 upon signing the application for the franchise, attached to the Federal Disclosure Document, $2,500 upon signing a Franchise Agreement and $2,500 upon opening your restaurant. The fee for a Sneaky Pete’s Express (i.e. inside a convenience store or other retail store) is $5,000 payable as follows: $1,000 upon signing the application for the franchise, attached to the Federal Disclosure Document, $2,000 upon signing a Franchise Agreement and $2,000 upon opening your restaurant.

What is the term of the Franchise Agreement?

The agreement is for ten (10) years and includes one ten (10) year option as outlined in the terms of the agreement.

Are Area Agreements available?

Yes. Depending on the geographic area and according to the Master Development Agreement attached to the Federal Disclosure Document.

What can I expect my initial investment to be?

Because of the different types of Sneaky Pete’s restaurants available, initial investment costs will vary significantly. The initial investment costs will range from $105,000 – $212,000 depending on the type and size of the Sneaky Pete’s restaurant. These costs are described in more detail in the Federal Disclosure Document.

How big are the restaurants?

Sneaky Pete’s restaurants currently range in size from 350 to 1200 square feet in a mall or non-traditional location, and approximately 1200 to 1500 square feet in a strip center location.

Do I own my own equipment?

Yes. The equipment is purchased according to the specifications of S.P. Food Services, Inc. and is available to you as a package at considerable savings. However, you may take bids from any supplier of your choice as long as you adhere to the equipment specifications of S.P. Food Services, Inc.

What services will I receive for my franchise fee initially?

S.P. Food Services, Inc. will provide the following services as more fully described in the Franchise Agreement itself:

  1. Counseling and assistance in evaluating prospective sites (although final site selection is up to you) and assistance in lease negotiations for the franchised outlet(s).
  2. Specifications pertaining to the interior design and layout, fixtures, furnishings, signs, and equipment.
  3. Assistance in contractor negotiations for leasehold improvements.
  4. Training in the operation of a Sneaky Pete’s restaurant, prior to the opening of the franchise, for up to ten (10) days at a location designated by S. P. Food Services, Inc.
  5. Pre-opening and opening assistance on the franchised premises by the Franchisor’s field consultant for a period up to seventeen (17) working days.
  6. Loan to Franchisee one copy of the Confidential Operating Manual and provide additions and modifications, as needed from time to time, to incorporate new developments regarding any changes in the standards, specifications, procedures, and techniques of the Sneaky Pete’s system.
  7. Provide Franchisee an initial set of recommended accounting, inventory, and inspection forms, along with assistance in record-keeping procedures.
  8. Furnish Franchisee, either directly or through approved suppliers, its unique hot dog sauce, chili and beef sauce and all other private labeled products.
  9. Assist in obtaining initial insurance coverage for the licensed restaurant.
  10. Assist in advertising and promoting the licensed restaurant.
  11. Assist in obtaining compliance with local health department codes.
Are there continuing financial obligations?

Yes, in the following ways:

  1. A continuing monthly royalty fee during the term of your agreement in an amount equal to six percent (6%) of Franchisee’s gross sales at the licensed restaurant.
  2. All Franchisees are expected to advertise in their local market, however, if your location is included in an area where a regional advertising fund is established, you will be required to contribute 1.5% of your gross sales to this fund for the purposes of media and print advertising.
What are the hours of operation?

Sneaky Pete’s restaurants typically must be open a minimum of 12 hours a day for no less than 6 days a week. The average store will open at 7:00 a.m. and close at 7:00 p.m. (Hours of operation for mall and non-traditional locations will vary.)

What products am I required to sell?

Click here to view a sample menu that  lists most of the approved items for sale in a Sneaky Pete’s restaurant.

Who sets the retail prices?

You do. We suggest prices but you must determine what is fair and reasonable for your particular market.

If I am interested in a franchise, what should I do next?

Step 1. Complete this online form. After preliminary approval, you will be contacted via email with information to submit a personal financial statement, which must be provided to complete the application process.

S.P. Food Services, Inc.

100 Centerview Drive • Suite 191

Birmingham, Alabama 35216

FAX 205.824.0852

These questions and answers are not intended to be a complete discussion of the issues presented herein or an exhaustive listing of all issues that are material to the purchase of a Sneaky Pete’s franchise. A more complete discussion of the Sneaky Pete’s system is contained in the Sneaky Pete’s Federal Disclosure Document that is available from the corporate office. In all events, the terms of the Franchise Agreement govern the rights and obligations of the Franchisor and Franchisee.