How is the real estate/rent paid for a 1-800-GOT-JUNK? franchise?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
You must secure a location from which you will operate your franchise at the commencement of operations. You must maintain sufficient space to operate computer, communications and related equipment and maintain records. We estimate that you will need a minimum of 300 to 400 sq. feet. The above estimate is based upon rental payments of $750 per month, with payment of first and last month’s rent and a damage deposit equal to one month’s rent at the beginning of the lease.
7) You are required to expend 8% of your Gross Revenue on local advertising, but in any event no less than $3,600 per quarter on local advertising during your first year of operations.
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, franchisees must secure a location to operate their franchise. This location should have sufficient space for computer, communication, and record-keeping equipment. The FDD estimates that a franchisee will need a minimum of 300 to 400 square feet for their operations.
The estimated rental payments are about $750 per month. 1-800-GOT-JUNK? anticipates that franchisees will need to pay first and last month's rent, plus a damage deposit equal to one month’s rent, at the beginning of the lease. Therefore, the estimated initial investment for real estate/rent ranges from $1,200 to $5,000, depending on the location secured by the franchisee.
Specifically, the "Real Estate/Rent" line item in the "Estimated Initial Investment" table shows a low estimate of $1,200 and a high estimate of $5,000. These payments are arranged between the franchisee and the landlord or lessor, and are due as arranged with the landlord/lessor. This covers the initial costs to secure the location from which the 1-800-GOT-JUNK? franchise will operate.