What items must the franchisee purchase consistent with the operational needs of the Afuri Ramen Dumpling franchise?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
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- POS System. You must purchase certain required hardware and software from our designated supplier. This includes point of sale hardware and software. If available, this may include our custom software application (referred to herein as "Proprietary Software") and related hardware for customer ordering. In this disclosure document, the above-described systems are referred to as the "POS System".
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- Equipment, Fixtures, Furnishings, Décor, and Supplies. You must purchase these items consistent with the operational needs of your Franchise and as may be required in our Operations Manual. The estimates in this row of the table also include: (1) sound systems; (2) security systems; and (3) back office computer hardware and software.
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- Initial Inventory. You must purchase inventory as outlined in the Operations Manual.
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- Signage. You may be required or recommended to purchase additional signage as outlined in the Operations Manual.
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- Training. The costs of training are included in your Initial Franchise Fee. The estimates in the above table cover out-of-pocket expenses that you incur associated with the training. These estimates are based on attendance at training by the following individuals: one or two franchisee owners and your General Manager, Kitchen Manager, Bar Manager, and Commissary Manager. We will have no obligation to provide initial training at our expense except for your first franchise. Additional training is outlined in Item 11, below.
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- Grand Opening Advertising.
Source: Item 7 — Estimated Initial Investment (FDD pages 16–22)
What This Means (2024 FDD)
According to the 2024 Afuri Ramen Dumpling FDD, franchisees must purchase several items to meet the operational needs of their franchise. These include a POS (Point of Sale) System, which requires specific hardware and software from designated suppliers, potentially including custom software. The initial payment for the POS system is estimated to range from $5,000 to $20,000.
Franchisees are also required to purchase equipment, fixtures, furnishings, décor, and supplies as detailed in the Afuri Ramen Dumpling Operations Manual. These purchases also include sound and security systems, along with back-office computer hardware and software. Additionally, franchisees must purchase an initial inventory as outlined in the Operations Manual, with the cost of initial inventory estimated between $6,000 and $10,000.
Signage is another required purchase, and franchisees may need to buy additional signage as specified in the Operations Manual, with costs ranging from $7,000 to $15,000. These expenditures are part of the estimated initial investment needed to establish an Afuri Ramen Dumpling franchise, and franchisees should consult the Operations Manual for specific details on required items and standards. The FDD also notes that actual costs may vary based on factors such as location and management skills.