If a 1-800-GOT-JUNK? franchise has twelve subterritories, what is the initial franchise fee?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
The initial franchise fee is $8,125 per subterritory. We require a minimum purchase of eight subterritories, for a total minimum initial franchise fee of $65,000. If your Franchised Business has twelve subterritories, the initial franchise fee will be $97,500. The initial franchise fee is payable to us in a lump sum when you sign the Franchise Agreement. We will only refund the entire initial franchise 4899-8658-3815.1
fee paid to date (without interest) if we do not approve your application. Except as described in this disclosure document, each portion of the initial franchise fee is fully earned upon receipt.
Source: Item 5 — Initial Fees (FDD pages 10–11)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the initial franchise fee for a business with twelve subterritories is $97,500. The initial franchise fee is $8,125 per subterritory, with a minimum purchase of eight subterritories required, totaling a minimum initial franchise fee of $65,000. This fee is payable in a lump sum when the Franchise Agreement is signed.
1-800-GOT-JUNK? only refunds the entire initial franchise fee if they do not approve the applicant's application. Otherwise, the fee is fully earned upon receipt. However, 1-800-GOT-JUNK? may allow payment of the initial franchise fee for some subterritories in equal monthly installments for a specified period, at their discretion. Even with this allowance, 1-800-GOT-JUNK? may not allow operation or service of customers in any subterritories until the initial fees for those subterritories are paid in full.
It is important to note that 1-800-GOT-JUNK? reserves the right to charge higher or lower initial fees for a particular territory based on factors such as the subterritory's market development or demographics. Prospective franchisees should confirm the exact initial franchise fee for their specific territory and understand the payment terms before signing the Franchise Agreement.