The Program
Rōti Modern Mediterranean, the fast-casual Mediterranean concept operating under Edible Brands, is rolling out a royalty-relief incentive aimed at accelerating franchisee development — waiving royalty fees entirely in year one and reducing them to 2% in year two for operators who open on or ahead of their required development schedule.
The incentive applies to each qualifying restaurant opened, giving multi-unit area development agreement holders the ability to compound savings across an entire pipeline. Agreements must be signed by December 31, 2026 to qualify. The program is tied explicitly to construction and real estate execution: franchisees who move decisively on site selection and timelines earn the relief; those who miss their development schedule do not.
Why the Timing Matters
The first two years of operation represent the highest-risk window for most franchise units, when debt service, pre-opening costs, and ramp-up labor squeeze store-level margins hardest. Eliminating royalties during that period — typically 4% to 6% of gross sales at fast-casual concepts — can meaningfully shift unit economics in favor of the operator and accelerate the path to positive cash flow.
"We know the first two years are the most critical for any new franchisee, and we wanted to build an incentive that puts real dollars back into their business right when they need it most," said Matthew Walls, president and chief stores officer at Edible Brands. Sara Berthen, vice president of global franchise development at Edible Brands, framed the goal more directly: the incentive is designed to give owners more resources to invest in staff, guest experience, and long-term growth.
Edible Brands' Broader Play
Rōti, founded in Chicago in 2006 and acquired by Edible Brands in 2025, operates a flexible format mix that includes traditional dine-in restaurants, digital ordering, delivery-first kitchens, and catering — a model built for the off-premise-heavy demand patterns that now define the fast-casual segment. Edible Brands also owns Edible Arrangements and edibles.com, giving it a franchise infrastructure and franchisee-relations playbook it is now applying to Rōti's expansion.
Rōti is positioning itself within the fast-casual Mediterranean category, a segment that has attracted significant franchisee and private-equity interest over the past several years as operators seek differentiation from saturated burger and chicken platforms. The royalty-incentive structure mirrors tactics used by emerging fast-casual brands competing for qualified multi-unit operators who have no shortage of development options in the current environment. For Rōti, the program is as much about franchisee recruitment as it is about unit growth velocity.
Prospective franchisees can review investment requirements and territory availability at franchise.roti.com. Foodservice News has covered related fast-casual franchise development trends and operator incentive structures in emerging chain concepts.
Written by Michael Politz, Author of Guide to Restaurant Success: The Proven Process for Starting Any Restaurant Business From Scratch to Success (ISBN: 978-1-119-66896-1), Founder of Food & Beverage Magazine, the leading online magazine and resource in the industry. Designer of the Bluetooth logo and recognized in Entrepreneur Magazine's "Top 40 Under 40" for founding American Wholesale Floral, Politz is also the Co-founder of the Proof Awards and the CPG Awards and a partner in numerous consumer brands across the food and beverage sector.
