Item 7
ESTIMATED INITIAL INVESTMENT

YOUR ESTIMATED INITIAL INVESTMENT

Type of expenditure Amount Method of payment When due To whom payment is to be made
Initial franchise fee $29,000 $29,000 Check or wire transfer Upon signing the franchise agreement Us
Real Estate / Rent (see Note 2) $2,500 $5,000 As arranged Upon signing lease Landlord
Utilities $300 $500 As arranged Upon ordering service. Utility providers
Leasehold Improvements $20,000 $70,000 As arranged As incurred or when billed Contractors
Market Introduction Program / Grand Opening $2,000 $12,000 As arranged As incurred or when billed Vendors and suppliers
Furniture, Fixtures, and Equipment $20,000 $25,000 As arranged As incurred Vendors and suppliers
Computer Systems $3,500 $4,000 As arranged As incurred Vendors and suppliers
Insurance $2,000 $6,000 As arranged Upon ordering Insurance company
Signage $3,000 $6,000 As arranged Upon ordering Vendor
Office Expenses $500 $1,000 As arranged As incurred Vendors
Inventory $0 $1,000 As arranged Upon ordering Vendors
Licenses and Permits $100 $250 As arranged Upon application Government
Dues and Subscriptions $0 $500 As arranged As incurred Vendors, trade organizations
Professional Fees (lawyer, accountant, etc.) $500 $1,500 As arranged As incurred or when billed Professional service firms
Travel, lodging and meals for initial training $3,000 $4,000 As arranged As incurred Airlines, hotels, and restaurants
Miscellaneous Preopening Expenses $4,500 $6,000 Varies Varies Varies
Additional funds (for first 3 months) (see Note 3) $20,000 $20,000 Varies Varies Employees, suppliers, utilities
Total $110,900 $191,750