When is the initial marketing expense due for a 1-800-GOT-JUNK? franchise?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
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 initial marketing expense is due at the signing of the Franchise Agreement. The initial marketing expense is a lump sum payment. The FDD states that the amount is between $25,000 and $25,000. The funds are then disbursed to 3rd party vendors.
This means that a prospective 1-800-GOT-JUNK? franchisee must be prepared to pay the entire initial marketing expense upfront when they sign the franchise agreement. This expense is earmarked for marketing and promoting the franchised business, specifically before and during the first 6 months of operation.
It is important to note that these funds are managed by the franchisor and disbursed to third-party vendors. The franchisee does not directly control how these funds are spent, but they are intended to support the launch and initial growth of the business. A prospective franchisee should inquire about the specific marketing activities covered by this expense and the vendors that 1-800-GOT-JUNK? utilizes.