Investment

by | Sep 19, 2019

Individual Unit Start-up Costs

This a Table estimates the expenses you should expect to incur to begin operation of an Individual BIG TOWN HERO franchise and to operate it during the initial three months.

EXPENDITURE

AMOUNT

PAYMENT METHOD

WHEN DUE

TO WHOM

 

Initial Franchise Fee

$18,000

Cash

When you sign the Franchise Agreement

Us

 

Utilities Deposits and Payments

$1,500 to $5,000

As Incurred

As Incurred

Landlord, Utility Companies and Suppliers

 

Architect Fees

$500 to $6,000

As Incurred

Before Opening

Architect

 

Leasehold Improvements, Cabinets and Decor

$50,000 to

$200,000 (

As Incurred

As Incurred

Landlord or Independent Contractors

 

Office Furniture and Office and Computer Equipment

$4,000 to $10,000

As Incurred

Before Opening

Suppliers

 

Menu/Signs

$5,000 to $30,000

As Incurred

Before Opening

Suppliers

 

Franchise Premises Rent (security deposit and 3 months’ rent)

$6,000 to $15,000

As Incurred

As Incurred

Landlord

 

Start-up Equipment

 

$50,000 to $100,000

As Incurred

Before Opening

Suppliers

Seating

$4,000 to $12,000

As Incurred

Before Opening

Suppliers

Starting Inventory

$3,000 to $8,000

As Incurred

Before Opening

Suppliers

Small Wares

$2,000 to $4,000

As Incurred

Before Opening

Suppliers

Employee Wages (3 months)

$6,000 to $12,000

As Incurred

As Incurred

Employees

Initial Advertising and Promotion

$1,000 to $3,000

As Incurred

Before and 90 days after Opening

Us or as We Direct

Travel and Living Expenses While Training

$1,000 to $5,000

As Incurred

During Training

Airlines, Hotels, Restaurants, etc.

Materials and

Supplies

$600 to $1,700

As Incurred

Before Opening

Us or Suppliers

Insurance

$600 to $1,500

As Incurred

Before Opening

Insurers

Miscellaneous Opening Costs

$1,950 to $7,500

As Incurred

As Incurred

Suppliers, Utilities, etc.

Additional Funds – 3 Months

 

$15,000 to $30,000

As Incurred

As Incurred

Employees, Suppliers, Utilities, etc.

TOTAL

$170,150 to $468,700

 

These figures are estimates only. It is possible to significantly exceed these figures and cost control is the responsibility of the franchisee. Big Town Hero provides specifications, guidelines and advice only.