What is the estimated total initial investment range for a 1-800-GOT-JUNK? franchise?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 7. Estimated Initial Investment
YOUR ESTIMATED INITIAL INVESTMENT (for a franchisee with 8 to 12 subterritories, with 8 being the minimum-sized new territory we offer)
Type of Expenditure Amount Method of Payment
When Due To Whom Payment Is to Be Made Low High Initial Franchise Fee (Notes 1 and 12) $65,000 $97,500 Lump sum At signing of Franchise Agreement. Initial Marketing Expense (Notes 2 and 12) $25,000 $25,000 Lump sum At signing of Franchise Agreement (then disbursed to 3rd Party Vendors) Computer Hardware and Software (Note 3) $1,500 $4,000 As arranged As incurred 3rd Party Vendors Miscellaneous Opening Costs (Note 4) $5,000 $15,000 As arranged As arranged 3rd Party Vendors Equipment (Vehicle Lease with dump body) Lease/purchase deposit (Note 5) $10,000 $30,000 Monthly Lease Monthly Dealer/Seller/ Lessor/Finance Company Real Estate/Rent (Note 6) $1,200 $5,000 As arranged As arranged Landlord/Lessor Local Marketing* – 3 months (Note 7) $3,600 $5,000 As arranged As incurred This money is spent and directed by the Franchisee on advertising in their local market. See Sections 10.1 and 10.2 of the Franchise Agreement. This expenditure is paid to third party authorized vendors. Insurance (Note 8) $10,000 $30,000 As arranged As incurred Insurance provider Training Expenses (Note 9) $3,500 $7,500 As required by vendors Before Opening Third-party hotel, restaurant and transportation vendors 4899-8658-3815.1
Type of Expenditure Amount Method of Payment
When Due To Whom Payment Is to Be Made Low High Additional Funds – 6 Months (Note 10) $59,000 $75,000 As required by vendors and employees As incurred Employees, Suppliers, Utilities TOTAL (Notes 11 and 12) $183,800 $294,000
Source: Item 7 — Estimated Initial Investment (FDD pages 17–21)
What This Means (2025 FDD)
According to 1-800-GOT-JUNK?'s 2025 Franchise Disclosure Document, the estimated total initial investment for a franchisee with 8 to 12 subterritories ranges from $183,800 to $294,000. This investment covers various expenses, including the initial franchise fee, initial marketing expense, computer hardware and software, miscellaneous opening costs, equipment (vehicle lease with dump body) lease/purchase deposit, real estate/rent, local marketing, insurance, training expenses, and additional funds for the first 6 months.
The initial franchise fee ranges from $65,000 to $97,500, depending on the number of subterritories (8 to 12) at $8,125 per subterritory. The initial marketing expense is a fixed $25,000. Other significant costs include equipment lease/purchase deposit, estimated between $10,000 and $30,000, and additional funds for the first six months of operation, estimated between $59,000 and $75,000. These additional funds are allocated for operating expenses such as working capital, marketing, and potential insurance overages.
Prospective franchisees should note that these figures are estimates based on 1-800-GOT-JUNK?'s experience in the United States, and actual expenses may vary. Factors such as existing operations, current ownership of necessary equipment, and location can influence the final investment amount. The FDD recommends a careful review of these figures with a business advisor before making any investment decisions. Franchisees will also need to factor in ongoing costs like truck insurance, public liability, property insurance, fuel, and truck maintenance, which are not explicitly included in the total initial investment range.