How to read it: skim the Quick-hit summary for the numbers that move the decision, use the Item jump-bar to land on any of the 23 Items, and open the full PDF at the bottom to verify any figure against the registered source. Watch-outs are flagged in amber under each Item.
Quick-hit summary — the money items
$30K
Initial franchise fee (Item 5) — $15K with 50% military discount
12%
Royalty of Acquired Inventory, not sales (Item 6) — nets ~3.5–4% of revenue; $1,200/mo min
≤ 10%
General ad fund of Acquired Inventory (Item 6/11); + regional fund ~25¢/box or $0–$1,000/wk
$572K–$786K
Total initial investment, leased space (Item 7)
1.5 mi
Protected — not exclusive — territory radius (Item 12)
450
Units system-wide at YE 2024, +28 in the year (Item 20)
No Item 19
Zero earnings claim — franchisor discloses no sales or profit figures
The royalty nuance almost every portal gets wrong
Jet's charges its 12% royalty on "Acquired Inventory" — the monthly cost of the food, packaging and supplies you buy — not on gross sales. At a typical ~30% food/supply cost, 12% of purchases nets to roughly 3.5–4% of revenue, materially lighter than "12%" sounds.
The flip side: because it is levied on purchases with a $1,200/month minimum, a slow store still pays, and the same Acquired-Inventory base drives the ad fund. Model economics off purchases, not revenue (Item 6, Item 8).
The gap you must fill yourself: Item 19
Jet's makes no financial performance representation — the FDD discloses zero sales, cost, or profit data. Any AUV figure you see online is unsourced third-party estimate. To underwrite honestly you must obtain actual store P&Ls (request records of a comparable unit, or call current/former franchisees in Exhibits D & E). This is the single biggest open number in the deal.
Item-by-item breakdown
All 23 Items, plain-English, with the key figures and any watch-outs. Jump to one:
Item 1
The Franchisor and Any Parents, Predecessors, and Affiliates
The franchise is sold by Jet's America, Inc., a Michigan corporation formed on June 8, 1990, headquartered at 37501 Mound Road, Sterling Heights, Michigan. It does business as 'Jet's Pizza' and grants you the right to run a single restaurant selling pizza, calzones, salads and other food, primarily for carry-out and delivery, at a location it approves. A typical store is 1,200-1,500 sq ft in a strip shopping center in a densely populated urban or suburban area, competing against national/regional pizza chains, independents, and convenience stores. The FDD discloses no parents and no predecessors; it lists one affiliate, JAI Productions, Inc. (in business since 2018), which collects rebates and processes payments for system items including the loyalty program, the advertising retainer fee, and the database.
Key numbers
- Franchisor incorporated June 8, 1990 (Michigan corporation)
- Typical restaurant size: 1,200-1,500 square feet
- Total investment for a single franchise: $572,500 to $786,000
- Initial fee component of that: $30,000 (or $15,000 with 50% military discount)
- Area Development Agreement (assumes 3 stores): $75,000 (or $37,500 military), on top of each single-store cost
- Affiliate JAI Productions, Inc. operating since 2018
- You must receive the FDD at least 14 calendar days before signing or paying
Watch-outs
- Only one affiliate (JAI Productions) is disclosed, and it is the entity that collects rebates and processes your loyalty/advertising/database payments - a related-party money flow worth scrutinizing.
- Business is 'primarily for carry-out and delivery' in a very competitive fast-food/pizza market (the FDD stresses this competitiveness twice).
- You do not choose your location freely - Jet's must approve it.
- If you sign an Area Development Agreement, later stores use Jet's THEN-current franchise agreement, whose terms may be substantially more burdensome (higher fees, shorter term).
Source: Jet's Pizza 2025 FDD, Item 1 (FDD pages 1-2 / PDF pages 7-9); investment figures also on FDD cover page (PDF page 1)
Item 2
Business Experience
This item lists the people who run Jet's America and their backgrounds. Leadership is long-tenured and family-linked to the brand's origin (Jetts Party Shop & Pizzeria, opened 1978). The three disclosed officers are President John Jetts, Secretary/Treasurer Amanda Romeo, and Vice President-Franchise Sales James W. Galloway, Jr. No franchise brokers or additional management turnover concerns are flagged.
Key numbers
- President John Jetts: president since December 5, 2014; VP and director of Jet's since its 1990 incorporation; involved with the brand since helping open Jetts Party Shop & Pizzeria in August 1978
- Secretary/Treasurer Amanda Romeo: with Jet's since 2007; Accounting Manager 2011-2019; officer since December 5, 2014; Legal Secretary since 2019
- VP-Franchise Sales James W. Galloway, Jr.: with the brand on/off since 1978; VP of Jet's since December 1993; full-time since March 1994
Watch-outs
- Very small, tightly-held management team - all three principals are also named defendants in the Item 3 Fekin litigation (in their capacity as members/managers of franchisor-owned franchises).
- Leadership is founder-family centric with decades of continuity; little outside/independent management is disclosed.
Source: Jet's Pizza 2025 FDD, Item 2 (FDD pages 3-4 / PDF pages 9-10)
Item 3
Litigation
Jet's discloses two settled cases and no pending material litigation. The first was an ownership/breach-of-contract dispute among members of a franchisor-owned entity, which Jet's settled by paying the plaintiff $222,250. The second was an Illinois class action under the Biometric Information Privacy Act (BIPA) over using employee thumbprints for timekeeping, settled for a total of $9,500. Both were resolved without admission of wrongdoing.
Key numbers
- Case 1 - Fekin v. Members of Kentucky #3, LLC et al. (Macomb County, MI Circuit Court, No. 2021-001643-CB): filed May 4, 2022; confidential settlement Nov 21, 2022; Jet's paid plaintiff $222,250.00; dismissed Dec 30, 2022
- Case 2 - McDonald v. Jet's America, Inc. (Cook County, IL Circuit Court, No. 2021 CH 00658): filed Feb 10, 2021; putative class action under Illinois BIPA (740 ILCS 14/1) over thumbprint timekeeping; settled in principle Feb 2022 for a total of $9,500 inclusive of all costs
Watch-outs
- The $222,250 settlement named the top three officers (John Jetts, James Galloway, Amanda Romeo) personally, arising from disputes inside FRANCHISOR-OWNED franchises - a window into internal owner/partner conflict.
- The Illinois BIPA class action reflects a common employer liability exposure (biometric timekeeping) that franchisees using similar systems should note for their own operations.
- Both matters are settled/closed, so no ongoing litigation overhang is disclosed - but neither settlement included an admission, and the FDD wording is franchisor-favorable.
Source: Jet's Pizza 2025 FDD, Item 3 (FDD page 4 / PDF page 10)
Item 4
Bankruptcy
There is nothing to disclose here. Neither Jet's America, Inc., its affiliate, nor any person listed in Item 2 has been involved in a bankruptcy that the FTC franchise rule requires to be reported. This is a clean, standard 'no bankruptcy' disclosure.
Key numbers
- Zero bankruptcies disclosed
Watch-outs
None - a clean bankruptcy disclosure is the favorable/expected outcome and signals no recent insolvency history for the franchisor or its management.
Source: Jet's Pizza 2025 FDD, Item 4 (FDD page 4 / PDF page 10)
Item 5
Initial Fees
The standard one-time initial franchise fee to open a Jet's Pizza is $30,000, paid as a lump sum when you sign the Franchise Agreement. Veterans get a 50% military discount, dropping it to $15,000 (the franchisee must be at least 20% owned by someone who served and was not dishonorably discharged). If you commit to opening a minimum of three stores under an Area Development Agreement, you instead pay a $75,000 area development fee up front ($37,500 with the military discount), which generally rolls in the franchise fees for those stores. All of these fees are non-refundable under any circumstances.
Key numbers
- Standard initial franchise fee: $30,000
- Military-discount initial franchise fee: $15,000 (50% off)
- Military-discount ADA per-location fees: $15,000 (1st) / $12,500 (2nd) / $10,000 (3rd) / $7,500 (each additional)
- Non-military ADA per-location fees referenced: $25,000 (2nd) / $20,000 (3rd) / $15,000 (each additional)
- Area Development Agreement fee: $75,000 (or $37,500 with military discount) for a minimum of 3 franchises
- Fee due: lump sum at signing
- All initial/area development fees are non-refundable
Watch-outs
- Fee is completely non-refundable under any circumstances, even if you never open
- Area development fee is fully earned and payable in full the moment the ADA is signed
- Military discount has a specific ownership test (>=20% owned by qualifying veteran)
Source: Jet's Pizza 2025 FDD, Item 5, PDF pages 9-10 (doc pages 4-5)
Item 6
Other Fees
This is the most commonly MISREPORTED part of Jet's economics. Jet's does NOT charge royalty as a percent of sales like most franchises. Instead the royalty is 12% of 'Acquired Inventory' -- meaning 12% of what you PAY for food, beverages, packaging, cups, boxes, napkins, cleaning supplies, etc. (your purchases/COGS), with a $1,200/month minimum. Because a pizza store's inventory/food cost typically runs only about 28-33% of gross sales, 12% of that cost nets out to roughly 3.5%-4% of sales -- far lower than it sounds if you wrongly assume 12% of revenue. Advertising works the same way: the General Advertising Fund is up to 10% of Acquired Inventory (combined with the Technology Fee), plus a separate Regional Advertising Fund (currently 25 cents per box or a $0-$1,000/week flat fee). A Technology Fee of up to 10% of Acquired Inventory is authorized but currently $0 (can be turned on with 90 days' notice). Many other event-driven fees apply (transfer, renewal, late payment, liquidated damages, etc.).
Key numbers
- ROYALTY: 12% of Acquired Inventory (purchases/COGS), NOT of sales; minimum $1,200/month -- nets to roughly ~3.5-4% of gross sales
- Acquired Inventory = your cost for all inventory & supplies (food, beverages, packaging, cups, boxes, napkins, plastic ware, cleaning supplies) bought in the period
- Corporate-owned affiliate royalty rates range 1%-12% (lower than franchisees)
- General Advertising Fund: up to 10% of Acquired Inventory (when combined with Technology Fee)
- Regional Advertising Fund: 25 cents per box purchased, OR a weekly flat fee of $0 to $1,000, plus any extra Jet's requires (no maximum)
- Technology Fee: up to 10% of Acquired Inventory (combined with Gen Ad Fund); currently $0, can start on 90 days' notice
- Gift Card / Loyalty Program admin fees: currently $30-$99/month
- Additional training fee: $1,000 per person (apparel ~$100-$200 extra); first 2 people included in franchise fee
- Additional support: $30/hour plus expenses
- New supplier evaluation fee: $1,000 plus out-of-pocket costs
- Transfer fee: up to $6,000
- Renewal fee: $4,000
- Interest on late payments: lower of 1.5%/month or legal max; plus a 1.5% late payment fee; plus possible 10% late fee
- Liquidated damages on default termination: $43,200 (or months remaining x $1,200 if <36 months left)
- Administrative default fees: up to $1,000 minor; up to $30,000 serious (e.g., $20,000 disparagement, $25,000 credit card breach, $5,000 renewal non-compliance)
- Audit cost: charged only if audit shows underpayment of >=5%
- Royalty due the 15th of each month (monthly reporting period)
Watch-outs
- THE KEY POINT: royalty and ad fees are charged on ACQUIRED INVENTORY (what you buy), NOT on sales -- do not compute 12% of revenue; effective royalty is roughly 3.5-4% of sales
- Because royalty is tied to purchases, it is somewhat decoupled from actual sales -- a slow store still pays the $1,200/month minimum
- Technology Fee of up to 10% of Acquired Inventory is currently $0 but can be switched on with just 90 days' notice
- Regional advertising fund contribution rates 'have no maximum' and are set at Jet's discretion
- Liquidated damages of $43,200 on default-termination are steep
- Disparagement Fee of $20,000 -- franchisee must self-report activity that could trigger it
- Jet's earned $13.17M of royalty revenue in 2024 (43% of its $30.79M total revenue) via this Acquired-Inventory model
Source: Jet's Pizza 2025 FDD, Item 6 & Notes, PDF pages 10-14 (doc pages 5-8); Item 8 revenue split on PDF page 17
Item 7
Estimated Initial Investment
Jet's estimates the total cost to open a single new Jet's Pizza restaurant at $572,500 to $786,000, assuming you LEASE a roughly 1,200-1,500 sq ft strip-center space (real estate purchase/construction is explicitly NOT included). The two biggest line items by far are leasehold improvements ($300,000-$400,000) and fixtures/equipment ($175,000-$225,000), which together make up the bulk of the build-out. The table below captures every line with its low-high range.
Key numbers
- TOTAL: $572,500 to $786,000
- Initial Franchise Fee: $15,000 (military) or $30,000 (standard)
- Travel and living expenses while training: $9,000 to $15,000
- Security deposit: $4,000 to $10,000
- Rent - 3 months: $7,500 to $20,000
- Blueprints: $10,000 to $15,000
- Leasehold improvements: $300,000 to $400,000 (largest line item)
- Fixtures and equipment: $175,000 to $225,000
- POS System: $20,000 to $30,000
- Computer maintenance costs: $1,500 to $2,000
- Miscellaneous opening costs: $3,000 to $6,000
- Opening inventory: $12,000 to $14,000
- Insurance (3 months): $10,000 to $16,000
- Working capital / additional funds - 3 months: $60,000 (single value, not a range)
- Assumes ~1,200-1,500 sq ft strip-center location; estimated rent $30,000-$60,000/year
Watch-outs
- Range EXCLUDES purchase of real estate or cost of constructing a building -- if you buy land/build, add substantial cost not shown here
- Leasehold improvements skew to the HIGH end ($400k) if you (not the landlord) pay for build-out; rent then skews low, and vice versa
- Working capital figure is only 3 months at a 'typical' income level -- Jet's explicitly warns actual expenses could be higher or income lower
- $60,000 working capital is a flat estimate, not a guarantee against additional funds being needed
- Does not include extraordinary build costs (aged buildings, water/sewer taps, unusual local permit fees)
Source: Jet's Pizza 2025 FDD, Item 7 table & Notes 1-6, PDF pages 13-15 (doc pages 8-9)
Item 8
Restrictions on Sources of Products and Services
Jet's controls where you buy almost everything. You must purchase all leasehold improvements, equipment (pizza ovens, mixer, walk-in coolers, POS, prep tables, signs), food ingredients, packaging, and supplies to Jet's specifications and only from Jet's-approved suppliers, and Jet's says it has 'total discretion' to limit those suppliers. Soda is exclusively PepsiCo, nationwide marketing runs through Zimmerman Advertising, and gift cards through Valutec. Critically, Jet's royalty is charged as a percentage of your 'Acquired Inventory' (what you buy from suppliers), not on your sales, and Jet's also earns supplier rebates on your purchase volume, so the supplier system is a major profit center for the franchisor.
Key numbers
- Royalty = 12% of Acquired Inventory (purchases), not sales; minimum $1,200/month (per Item 6). Because it is levied on wholesale purchases, this nets to roughly ~3.5-4% of retail sales, NOT 12% of sales -- a commonly misreported point.
- 2024 Jet's total revenue: $30,792,504
- 2024 royalty revenue (based on Acquired Inventory purchases): $13,172,520
- 43% of Jet's total 2024 revenue came from franchisees' Acquired Inventory purchases
- 2024 supplier rebates earned by Jet's: $4,670,643.33 (~15% of total revenue), allocated to affiliate JAI Productions for advertising/marketing
- New-supplier evaluation fee: $1,000 plus out-of-pocket costs; review typically up to 60 days
- Required purchases = ~100% of costs to open the restaurant and ~45% of ongoing expenses
- Sole soda supplier: PepsiCo. Marketing agency: Zimmerman Advertising LLC. Gift cards: Valutec Card Solutions, LLC
Watch-outs
- Royalty is charged on PURCHASES (Acquired Inventory), so buying more inventory raises your royalty regardless of whether it sells -- and Jet's benefits from your purchase volume twice (royalty + supplier rebates).
- Rebates from suppliers go to Jet's affiliate JAI Productions, not to you; the franchisor profits from the supply chain.
- Jet's has 'sole discretion' over suppliers, will approve new ones only in 'unusual circumstances' at your cost, and has no obligation to approve any request -- you have little leverage on input pricing.
- Approved-supplier items 'may be more expensive than similar items you could buy on your own' (FDD general risk note).
- Jet's reserves the right to become an approved supplier itself in the future.
Source: Jet's Pizza 2025 FDD, Item 8 -- FDD pages 10-12 (PDF pages 16-18); royalty basis cross-referenced to Item 6, FDD page 5 (PDF page 11).
Item 9
Franchisee's Obligations
This is the standard FDD reference grid, not new terms -- a table pointing you to where each of your duties lives in the Franchise Agreement, the Area Development Agreement, and elsewhere in the disclosure document. It lists 28 obligation categories (a through bb) covering site selection, pre-opening purchases, training, fees, operating-manual compliance, trademarks, ongoing product purchases, remodeling, insurance, advertising, transfer, renewal, post-termination duties, non-compete covenants, and dispute resolution. Read it as a map that shows how heavily obligated a Jet's franchisee is across the whole relationship.
Key numbers
- 28 obligation rows listed (a. site selection through bb. websites/domain names/electronic marketing)
- Fees obligation (row f) references Franchise Agreement Sections 4, 5.1, 5.4, 6.5, 6.7, 7, 8.4, 13.2, 14.2, 15.3, 15.4 plus Schedules 1 and 5
- Non-competition covenants: Franchise Agreement Section 12; Area Development Agreement Section 5 (Item 17)
- Owner participation/management/staffing: FA Sections 5.4, 9 (Items 11, 15)
Watch-outs
- No dollar figures here -- it is a cross-reference index; the real burden is in the cited Franchise Agreement sections, which must be read directly.
- Broad ongoing obligations (mandatory training, remodeling on demand, promotional-program participation at your sole cost, data/records access) are all baked in via this grid.
Source: Jet's Pizza 2025 FDD, Item 9 -- FDD pages 13-14 (PDF pages 19-20).
Item 10
Financing
There is nothing here. Jet's offers no financing of any kind -- neither directly nor indirectly -- and will not guarantee your note, lease, or other obligations. You must arrange 100% of your funding (roughly $572,500 to $786,000 for a single unit) on your own through a bank, SBA loan, or personal capital.
Key numbers
- Direct financing offered: none
- Indirect financing offered: none
- Guarantees of your note/lease/obligation: none
Watch-outs
- You bear the entire capital burden and all lender risk yourself; there is no franchisor backstop. Budget for outside SBA or conventional financing from day one.
Source: Jet's Pizza 2025 FDD, Item 10 -- FDD page 14 (PDF page 20).
Item 11
Franchisor's Assistance, Advertising, Computer Systems, and Training
Jet's says that except for the specific items listed, it is NOT required to help you. Pre-opening, it gives site-selection criteria (but you find and secure the site yourself), approves your location within 21 days, provides equipment/layout specs and an approved-supplier list, approves your blueprints, gives you the electronic Operations Manual, and trains two managers at no extra charge. At opening it sends a representative for about 8 hours/day for 3 days. On advertising, you must spend a minimum of $3,800/month on local plus regional advertising, and Jet's can require a General Advertising Fund and a Technology Fee each of up to 10% of Acquired Inventory. The technology section is heavy: a mandatory POS system costing $20,000-$30,000, replaceable as often as every 3 years, and Jet's claims exclusive ownership of ALL your data -- including customer and transaction data -- during and after the franchise. Initial training is intensive: six days a week for six weeks (300 in-store hours) in Michigan, and two people must complete it.
Key numbers
- Site approval window: 21 days after request; Jet's may cancel if no site secured within 90 days or not open within 12 months
- Estimated time to open: 8-12 months after signing
- Grand-opening on-site support: ~8 hours/day for 3 days
- Minimum advertising spend: $3,800 per month (local + regional combined)
- General Advertising Fund: up to 10% of Acquired Inventory (combined with Technology Fee); not currently required but can be imposed
- Technology Fee: up to 10% of Acquired Inventory (combined with ad fund), on 90 days' notice
- 19 regional advertising funds; contribution = 25 cents per box sold OR a weekly flat fee of $0 to $1,000
- 2024 General Advertising Fund spend: 89.8% media, 8.2% production, 1.3% administrative, 0.7% sponsorship
- POS system cost: $20,000-$30,000 per restaurant; Jet's may require replacement as often as every 3 years
- Tech support/maintenance contract: $1,500-$4,500 per year
- Additional/replacement training: $1,000 per person; extra support $30/hour plus out-of-pocket
- Operations Manual: ~217 pages (154 of which are recipe/prep appendices)
- Initial training: 6 days/week for 6 consecutive weeks = 300 in-store hours; conducted ~5 times/year in Michigan; 2 persons must complete within 9 months of signing
- Gift Card program fees: $99 setup + $30/month flat plus transaction fees (Valutec)
Watch-outs
- DATA OWNERSHIP: Jet's claims it exclusively owns all data you create or collect, including customer and transaction data, during AND after the agreement, with no contractual limit on its right to access or remove it -- you own none of your own customer list.
- 'Except as listed below, we are not required to provide you with any assistance' -- ongoing operational support is discretionary, not guaranteed.
- Advertising contributions are largely uncapped: regional fund formulas 'have no maximum,' and Jet's is not obligated to spend ad money in your area or proportionate to your contribution.
- POS/technology is a recurring forced cost -- replaceable every 3 years, software/cloud updates possibly more often, all at your expense; future Tech Fee up to 10% of purchases can be added on 90 days' notice.
- Training happens in Michigan at your travel/lodging/food cost, and both required trainees must finish within 9 months or Jet's can cancel the franchise.
- You must participate in and fund all loyalty/gift-card/promotional programs (e.g., Jet's Rewards free items) at your sole cost.
Source: Jet's Pizza 2025 FDD, Item 11 -- FDD pages 14-22 (PDF pages 20-28).
Item 12
Territory
You get a protected radius, but it is NOT an exclusive territory. Once Jet's approves your location, your territory and advertising territory are a 1.5-mile radius around it (shrinking to just a quarter-mile in New York City, Chicago, or any city over one million people). Jet's promises not to open or license another standard Jet's restaurant inside that radius while you are in good standing -- but it carves out big exceptions: it keeps the right to run 'Non-Traditional Restaurants' (food trucks, stadiums, malls, airports, gas stations, hospitals, schools, etc.) and to supply 'Special Events' inside your area, with no compensation to you. Your territory rights are not tied to hitting sales quotas, and Jet's cannot redraw your boundaries during the initial term and first renewal.
Key numbers
- Standard protected radius: 1.5 miles from your location
- Large-city radius: 0.25 mile (1/4 mile) in the five boroughs of NYC, Chicago, or any city with population over 1,000,000
- Sales quota required to keep territory: none
- Boundary lock: Jet's cannot alter your territory during the initial term and first renewal term
Watch-outs
- NOT EXCLUSIVE -- the FDD is required to state: 'You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.'
- Jet's retains the right to place Non-Traditional Restaurants (food trucks, stadiums, malls, food courts, gas stations, hotels, hospitals, airports, schools, etc.) and to handle Special Events INSIDE your 1.5-mile territory with zero compensation to you.
- No exclusivity over customers -- neighboring franchisees can take pick-up orders (and some delivery) from your area.
- Relocation requires Jet's prior written approval, is at your sole expense, and is at Jet's sole discretion.
- Jet's reserves the right to launch different-brand restaurants with similar products in the future.
- In dense big-city markets the quarter-mile radius is very small, allowing many Jet's units close together.
Source: Jet's Pizza 2025 FDD, Item 12 -- FDD pages 20-24 (PDF pages 26-30).
Item 13
Trademarks
You get a license to operate under the 'Jet's Pizza' name, the Jetman logo, and Jet's other registered marks. All of the listed marks are registered with the USPTO on the Principal Register (a couple on the Supplemental Register), and Jet's says there is no current litigation, opposition, or cancellation clouding them. The one real wrinkle: an unrelated 'Jet City Pizza' in Seattle predates Jet's marks and, under a 2005 Trademark Coexistence Agreement, keeps prior rights to operate under that name near Seattle. Jet's controls all trademark enforcement and can force you to change or stop using a mark at any time in its sole discretion, and it will only reimburse you or defend you if you followed the rules and notified it promptly.
Key numbers
- ~30+ USPTO-registered marks listed (e.g., JET'S, JET'S PIZZA (STYLIZED) Reg. 2,712,642, JETMAN DESIGN Reg. 2,133,757, TURBO CRUST, 8 CORNER PIZZA)
- Earliest registrations: DELI BOATS / JET PAC / BABY PAC 03/25/1997 (Reg. 2,047,526-528)
- Most marks PRINCIPAL register; DEEP DISH BREAD (Reg. 4,626,561) is SUPPLEMENTAL
- One mark, DEEP DISH DUO (Reg. 4,826,143), listed as 'TO BE CANCELLED'
- Jet City Pizza coexistence: 100-mile radius of Seattle metro limitation; Coexistence Agreement dated 12/20/2005
- No pending infringement/opposition/cancellation proceedings
Watch-outs
- Jet's can modify, replace, or discontinue any mark in its sole business judgment and you must comply after notice, at your own cost.
- If a mark change forces a store remodel or rebranding, Jet's disclaims all liability for your losses (remodeling cost, lost revenue, legal fees, promotion expense).
- Jet's indemnifies/defends you ONLY if your use was fully compliant AND you promptly notified Jet's; otherwise you are exposed.
- The Jet City Pizza (Seattle) prior-rights coexistence means the marks are not unencumbered nationwide.
- DEEP DISH DUO mark is flagged 'to be cancelled' -- one listed mark is not being maintained.
Source: Jet's Pizza FDD 2025, Item 13, PDF pp. 30-33 (doc pp. 24-27)
Item 14
Patents, Copyrights, and Proprietary Information
No patents matter to this franchise. Jet's relies on an unregistered copyright in its Operations Manual plus trade secrets (recipes, food-prep cards, advertising material) that it hands you under confidentiality obligations built into the Franchise Agreement. It also holds one registered U.S. copyright. Importantly, Jet's takes on no duty to police that copyright or to defend you if a third party sues over your use of the Operations Manual, so the protection is one-sided.
Key numbers
- Patents material to franchise: none
- 1 registered U.S. copyright: Reg. VA 2-020-763, registered 10/21/2016
- Operations Manual copyright is UNREGISTERED
- Proprietary info covered: recipes, food preparation cards, advertising material (protected by confidentiality agreements -- Exhibits G and H)
Watch-outs
- Jet's has NO obligation to protect its copyright or to defend you against claims arising from your use of the Operations Manual.
- Recipes and prep methods are trade secrets bound by confidentiality and non-compete agreements every owner and the manager must sign.
Source: Jet's Pizza FDD 2025, Item 14, PDF pp. 33-34 (doc pp. 27-28)
Item 15
Obligation to Participate in the Actual Operation of the Franchise Business
This is an owner-operator system, not a passive investment. Every store must have at least one owner (or a designated manager) who personally supervises the business on-site, has completed Jet's training, and can actually run the restaurant. That manager and every owner must sign a confidentiality agreement and a non-compete. The manager does not need to hold equity, but if your franchise is an LLC or corporation, each owner must personally guarantee all obligations under the Franchise Agreement.
Key numbers
- At least 1 owner-operator must personally supervise each store
- Owner-operator/manager must complete Jet's training program
- Manager may hold 0% ownership (no equity required)
- Every direct or indirect owner counts as an 'owner' and must sign a personal guaranty (Exhibit F), confidentiality agreement (Exhibit G), and non-compete (Exhibit H)
Watch-outs
- Not a semi-absentee model -- an on-site trained supervisor is mandatory at all times.
- Personal guaranty required from every owner even when the franchise is held in a limited-liability entity, so the corporate shield does not protect owners' personal assets.
- Mandatory non-compete signed by all owners and the manager.
Source: Jet's Pizza FDD 2025, Item 15, PDF p. 34 (doc p. 28)
Item 16
Restrictions on What the Franchisee May Sell
Jet's fully controls your menu. You must sell every item Jet's designates as mandatory and may sell nothing that Jet's has not approved, and Jet's can change the menu whenever it wants at its 'absolute discretion' with no obligation to keep items you like. During approved hours you are required to offer delivery to customers within your territory. Jet's may also set the minimum, maximum, and other prices you charge, to the extent the law allows. Aside from special-events coordination and possible delivery-area limits, there is no restriction on which customers you serve for pickup or delivery, inside or outside your territory.
Key numbers
- Mandatory menu items: must offer all Jet's designates
- Unapproved items: 0 allowed
- Delivery within your territory: required during approved hours
- Price control: Jet's may regulate minimum, maximum and other menu prices (to the extent allowed by law)
Watch-outs
- Jet's has 'absolute discretion' over menu changes and you must comply -- forced new products or dropped items at any time.
- Jet's can dictate your prices (min AND max), squeezing margins.
- Some items are region-specific (mandatory in some regions, test-marketed in others).
- Mandatory delivery obligation adds labor/insurance/driver cost you cannot opt out of.
Source: Jet's Pizza FDD 2025, Item 16, PDF p. 34 (doc p. 28)
Item 17
Renewal, Termination, Transfer, and Dispute Resolution (the Franchise Relationship table)
The franchise term is 10 years with exactly ONE 10-year renewal, and renewal is conditional (no defaults, timely notice, sign a new agreement that may have materially different terms, pay a renewal fee, remodel, and not rank in the bottom 10% of stores by sales). You cannot terminate the agreement yourself (the franchisee-termination row is 'Not Applicable'), but Jet's can terminate for cause on 5-30 day cure periods, and after your single renewal Jet's may even terminate without cause. Disputes go to binding arbitration with the AAA in Southfield, Michigan under Michigan law -- an out-of-state forum that is a flagged 'special risk.' Post-term you face a 3-year, 5-mile non-compete, and if you default at termination you owe $43,200 in liquidated damages.
Key numbers
- Initial term: 10 years
- Renewal: one 10-year renewal term only (no further renewals)
- Renewal notice window: within 6 months of end of initial term
- Renewal disqualifier: being in lowest 10% of restaurants by gross sales or Acquired Inventory
- Cure periods for curable defaults: 5 to 30 days
- Liquidated damages on default termination: $43,200 (for lost royalties)
- 'Transfer' trigger: 50% or more ownership change
- Death/disability: franchise must transfer within 6 months or auto-terminates
- Non-compete during term: 5-mile radius of any Jet's Pizza restaurant
- Non-compete post-term: 3 years within 5 miles of any Jet's Pizza restaurant
- Default thresholds: SBA loan over $350,000 without approval = default; fixed monthly cost over $9,000 without approval = default
- Must open within 9 months of signing; secure location/lease within 90 days
- Failure to operate 3+ consecutive business days = incurable default
- Dispute resolution: binding AAA arbitration in Southfield, Michigan; Michigan choice of law and forum
- Area Development Agreement term: typically 5 years, no renewal
Watch-outs
- Out-of-state dispute resolution: arbitration/litigation forced to Michigan (AAA Southfield) -- a state-mandated 'Special Risk'; costlier and less favorable for an out-of-state franchisee.
- Only ONE renewal, and it requires signing a brand-new agreement with potentially much worse terms plus a full remodel.
- Bottom-10%-performers can be denied renewal -- underperformance can cost you the business.
- Franchisee has NO right to terminate (row d = Not Applicable); after the single renewal Jet's can terminate WITHOUT cause.
- $43,200 liquidated-damages hit if terminated for your default, on top of losing the store.
- Jet's holds a right of first refusal AND an option to purchase your assets after a default termination.
- Broad 5-mile / 3-year post-term non-compete restricts your next move.
- Renewal also requires releasing all claims against Jet's (general release, Exhibit M).
- Minimum Royalty special risk (Item 4): royalty/minimum payments owed regardless of sales.
Source: Jet's Pizza FDD 2025, Item 17, PDF pp. 34-38 (doc pp. 28-32)
Item 18
Public Figures
This item discloses whether the franchisor pays a celebrity or public figure to promote the brand and whether that person has any management role or investment in the company. Jet's makes essentially no commitment here: the entire disclosure is a single sentence reserving the right to promote with public figures in the future. No public figure is currently named, no one is paid an endorsement fee, and no public figure holds a management position or has invested in the franchise.
Key numbers
- Named public figures: 0
- Compensation paid to any public figure: $0 (none disclosed)
- Public figures with management role or ownership stake: 0
Watch-outs
- This is a placeholder reservation of rights, not an actual endorsement deal, so it carries no marketing benefit to a buyer today.
- Because it is open-ended, Jet's could later attach a celebrity to national ad campaigns that franchisees help fund through the ad fund (see Item 11) without any additional consent from you.
Source: Jet's Pizza 2025 FDD, Item 18, PDF p.39 (doc Page 33). Issuance date April 29, 2025.
Item 19
Financial Performance Representations
This is the item where a franchisor MAY disclose how much its outlets earn (sales, costs, profits). JET'S MAKES NO FINANCIAL PERFORMANCE REPRESENTATION. They explicitly state they do not make any representations about a franchisee's future financial performance or about the past performance of company-owned or franchised outlets, and they do not authorize employees or reps to do so verbally or in writing. This means the franchisor gives you zero official sales, cost, or profit figures to underwrite the deal. The only exception: if you buy an EXISTING outlet, they may hand you that specific store's actual records. Any income projection you hear from a salesperson is unauthorized and should be reported to Jet's (James Galloway), the FTC, and your state regulator.
Key numbers
- Item 19 = NO financial performance representation (no sales, revenue, or profit figures disclosed)
- Only data source offered: actual records of a specific existing outlet you are buying (resale only)
- Report unauthorized claims to: James Galloway, 37501 Mound Road, Sterling Heights, MI 48310, (586) 268-5870
Watch-outs
- No unit economics disclosed by the franchisor -- you must do your own diligence via existing/former franchisees (Item 20, Exhibits D & E).
- RED FLAG for a first-time buyer: with no Item 19, you cannot rely on the FDD for any revenue or profit estimate. You must build your own model by calling existing franchisees (Exhibits D and E) and doing independent market research.
- Pair this with Item 4 Special Risk warning of a MINIMUM ROYALTY owed regardless of sales: you commit to fixed payments while having no franchisor-backed sales benchmark.
- Do not accept any 'you'll make $X' number from a broker or salesperson; it is expressly unauthorized here.
Source: Jet's Pizza 2025 FDD, Item 19, PDF p.39 (doc Page 33).
Item 20
Outlets and Franchisee Information
This item shows how many stores exist, how the count is changing, how often stores transfer or close, and where to reach current and former franchisees. Jet's is a healthy, growing system: total outlets rose from 407 (end 2022) to 450 (end 2024), with franchised units up from 360 to 394 and affiliate/company-owned up from 47 to 56. Closures are very rare (0 stores 'ceased operations for other reasons' in all three years; terminations in the low single digits). Contact info for every current franchisee is in Exhibit D and for former franchisees in Exhibit E. Note a Michigan pattern: franchised units there are flat-to-declining (142 to 137) while affiliate-owned units grow (21 to 27), i.e., the parent is buying back its home-market stores.
Key numbers
- Total outlets end of year: 2022 = 407; 2023 = 422; 2024 = 450
- Franchised outlets: 354 (start 2022) to 394 (end 2024); net +6 (2022), +9 (2023), +25 (2024)
- Company/affiliate-owned: 40 (start 2022) to 56 (end 2024); net +7, +6, +3
- Franchised opened: 12 (2022), 13 (2023), 27 (2024)
- Franchised terminated: 2 (2022), 0 (2023), 2 (2024); non-renewals: 0, 0, 1
- Franchised reacquired by Jet's: 5 (2022), 4 (2023), 1 (2024)
- Franchised ceased ops for other reasons: 0 in all years
- Transfers to new owners (totals): 21 (2022), 21 (2023), 14 (2024)
- Largest state = Michigan: 137 franchised + 27 affiliate-owned at end 2024 (~164 units)
- Other big states end 2024 (franchised): Ohio 47, Tennessee 34, Florida 33, Illinois 29, Texas 19, Indiana 15
- Affiliate-owned totals: 47 (2022), 53 (2023), 56 (2024)
- Projected next fiscal year (Table 5): signed-but-unopened franchise agreements across ~15 states
- Franchisee association: none known
- Franchisees that failed to communicate in last 10 weeks: 0
Watch-outs
- GAG CLAUSES: the FDD states 'current and former franchisees sign provisions restricting their ability to speak openly about their experience with Jet's.' Some franchisees you call legally cannot be candid, so weight Exhibit E (former) contacts heavily.
- Company/affiliate reacquisitions concentrated in Michigan (the founder's home market) can mean the best corporate territories are being kept in-house; independent franchisees are growing mostly outside Michigan.
- No franchisee association exists, so there is no organized franchisee body negotiating with the franchisor on your behalf.
- When you eventually exit, your contact info may be disclosed to prospective buyers (standard, but noted).
Source: Jet's Pizza 2025 FDD, Item 20, Tables 1-5, PDF pp.39-47 (doc Pages 33-41). Franchisee lists = Exhibit D (current) and Exhibit E (former).
Item 21
Financial Statements
This item points you to the franchisor's audited financial statements, which show whether Jet's America, Inc. is financially strong enough to support the system. Jet's provides audited financials for the fiscal years ended December 31, 2022, 2023, and 2024, attached as Exhibit B. A buyer (and their accountant) should review these for profitability, cash/reserves, and any going-concern or heavy-debt flags before signing.
Key numbers
- Three years of AUDITED financial statements: FYE Dec 31, 2022, 2023, and 2024
- Location: Exhibit B (audited statements; full financials on PDF pp.69-91 region)
Watch-outs
- Jet's America is privately held, so these statements are your only window into the parent's balance-sheet strength; have an accountant confirm adequate net worth and no going-concern qualification.
- Confirm the audited financials cover the franchisor entity actually obligated to provide support, not just a shell parent.
Source: Jet's Pizza 2025 FDD, Item 21, PDF p.47 (doc Page 41); financial statements attached as Exhibit B.
Item 22
Contracts
This item simply lists every agreement you may be asked to sign, all attached as exhibits so you can read the actual legal terms (not just the plain-English summaries elsewhere in the FDD). The core document is the Franchise Agreement plus five schedules (fees/spending requirements, location and territory, marks, a standard lease rider, and a schedule of fines for minor defaults). Additional contracts cover personal guaranty, confidentiality and non-compete for related parties, transfer and renewal addenda, and the Area Development Agreement for multi-unit deals.
Key numbers
- Franchise Agreement + 5 schedules (Fees/Deposits/Spending Requirements; Location, Territory & Business Name; Marks; Standard Lease Rider; Schedule of Fines for Minor Defaults) = Exhibit A
- Personal Guaranty = Exhibit F
- Related Party Confidentiality Agreement = Exhibit G; Related Party Agreement Not to Compete = Exhibit H
- Business Purpose Affidavit = Exhibit I; Ownership Certificate = Exhibit J
- Sample Transfer Agreements = Exhibit K-1; Royalty Addendum for Transfer = Exhibit K-2
- Renewal Addendum (Remodeling Requirements) = Exhibit L; General Release Upon Renewal = Exhibit M
- Area Development Agreement = Exhibit Q
Watch-outs
- A 'Schedule of Fines for Minor Defaults' is baked into the Franchise Agreement, meaning the franchisor can levy monetary penalties for operational infractions; read this schedule closely.
- A Personal Guaranty (Exhibit F) puts your personal assets on the hook for the franchise's obligations.
- Renewal requires signing a General Release (Exhibit M) and meeting remodeling requirements (Exhibit L), so renewing is not automatic and can trigger new capital outlays.
Source: Jet's Pizza 2025 FDD, Item 22, PDF pp.47-48 (doc Pages 41-42).
Item 23
Receipts
This is the acknowledgment page confirming you received the full disclosure document. The last two pages (Exhibit R) are identical receipts: you sign and return one copy and keep the other. This ties back to the federal rule that you must receive the FDD at least 14 calendar days before signing any binding agreement or paying any money. Jet's America, Inc. is stated to be the only entity authorized to offer or sell Jet's Pizza franchises in the U.S.
Key numbers
- Two identical receipt copies (Exhibit R): sign/return one, keep one
- Mandatory 14-calendar-day review period before signing or paying (federal Franchise Rule)
- Sole authorized seller: Jet's America, Inc., 37501 Mound Road, Sterling Heights, MI 48310, (586) 268-5870
Watch-outs
- Do not sign the receipt with a backdated date; the signed receipt date starts your 14-day clock and is the franchisor's proof of compliance.
- Only Jet's America, Inc. can sell you the franchise; be wary of any third party claiming to offer one.
Source: Jet's Pizza 2025 FDD, Item 23, PDF p.48 (doc Page 42); receipts = Exhibit R (final two pages, PDF pp.~206-208).
Full FDD document
The complete registered document, embedded below. Read it in place or download it. Every figure on this page is traceable to a page in this PDF (citations under each Item).
Public source: Jet's America, Inc. 2025 Franchise Disclosure Document (fiscal-2024 data, issued April 29, 2025), retrieved from the RestFinance FDD library (restfinance.com/app/pdf/fdd/Jets-Pizza-2024.pdf). Always request the current registered FDD directly from Jet's before signing anything.