To whom is the payment for the Building/Build-Out Costs made for a 7 Brew franchise?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount | Method of payment | When due | To whom payment is to be made |
|---|---|---|---|---|
| Building / Build-Out Costs (Note 2) | $318,500 to $600,000 | Lump sum or financed | As incurred | Our Affiliate or Third Parties (your landlord and/or contractor) |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–27)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, the payment for Building/Build-Out Costs, which range from $318,500 to $600,000, is made to either 7 Brew's affiliate or to third parties such as the landlord and/or contractor. These costs are typically paid as incurred, either in a lump sum or through financing.
Building costs cover the construction of the modular building and related signage. Site development costs encompass land development and site improvements, including landscaping, electrical and water hookups, paving, and lighting. However, these costs do not include potential government-imposed "impact fees" or unusual costs to bring utilities to the property.
Prospective franchisees should clarify with 7 Brew who the specific recipients of these payments will be in their particular situation. Understanding whether payments are directed to 7 Brew's affiliate versus third-party contractors is essential for budgeting and ensuring proper allocation of funds during the build-out phase.