Franchise Fee

The initial franchise fee of $50,000 is paid in three installments. $25,000 at signing of franchise agreement,
$12,500 at first anniversary date, $12,500 at second anniversary date.

Summary of Estimated Expenditures

Description of Expenditures 

Estimated Amounts

 

 Low

High

 Rent

 $1,500

 $3,000

 Lease & Utility Security Deposit

 $2,000

 $3,000

 Leasehold Improvements*

 $50,000

 $75,000

 Equipment

 $30,000

 $50,000

 Fixtures

 $5,000

 $10,000

 Initial Inventory & Supplies

 $3,000

 $3,000

 Insurance

 $2,000

 $4,000

 Training

 $2,500

 $4,000

 Grand Opening Advertising

 $3,000

 $3,000

 Signage

 $2,000

 $4,000

 Working Capital

 $5,000

 $ 10,000

 Office Equipment and Supplies

 $1,000

 $1,000

 Miscellaneous Expenses

 $2,500

 $5,000

 TOTALS

 $109,500

 $175,000

*Besides this total estimated cost, a Franchisee must consider additional construction costs which will vary in relation to square footage and type of store.

In addition, the cost of construction, leasing or purchasing real estate, the mechanical package, leasehold improvements, permits and licenses, etc. must be considered. All or part of these costs may be amortized by the landlord in rent payments. They could, however, be a part of your initial cash expense.

 

Product Quality

Being an owner-operator store, your commitment to maintaining product quality, store-cleanliness, efficient customer service and overall management control is ESSENTIAL. Like any other modern business system, ours requires continued management and supervision. Our intensified training program will give you the "tools"-you will have to work with them.


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