What is the estimated low cost for equipment for an All States M.E.D. franchise?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Expenditure | Method of Payment | When Due | To Whom Payment is to be Made | ||
|---|---|---|---|---|---|
| Low | High | ||||
| Initial Franchise Fee1 | $100,000 | $100,000 | As arranged | Upon signing your Franchise Agreement | To us |
| Traveling and Living | $2,000 | $3,000 | As arranged | As incurred | Third parties |
| Expenses while Training2 | |||||
| Real Property Rent | $3,000 | $8,000 | As arranged | As incurred | To your landlord |
| Deposits and Pre-Paid | |||||
| Expenses3 | |||||
| Construction of Leasehold | $1,000 | $5,000 | As arranged | As incurred | Contractors |
| Improvements4 | |||||
| Furniture and Fixtures5 | $3,500 | $7,500 | As arranged | As incurred | Third parties |
| Equipment6 | $20,000 | $30,000 | As arranged | As incurred | Third parties |
| Computer Hardware and | $4,000 | $6,500 | As arranged | As incurred | Third parties |
| Software7 | |||||
| Office Supplies8 | $1,000 | $2,500 | As arranged | As incurred | Third parties |
| Uniforms9 | $500 | $1,500 | As arranged | As incurred | Third parties |
| Signage10 | $2,000 | $5,000 | As arranged | As incurred | Third parties |
| High-Ceiling Van with | $5,000 | $10,000 | As arranged | As incurred | Third parties |
| Liftgate11 | |||||
| Grand Opening | $3,000 | $10,000 | As arranged | As incurred | Third parties |
| Advertising12 | |||||
| Business Licenses and | $500 | $1,500 | As arranged | As incurred | Third parties |
| Permits13 | |||||
| Insurance (3 Months)14 | $500 | $1,500 | As arranged | As incurred | Insurance company |
| Professional Fees15 | $2,500 | $3,500 | As arranged | As incurred | Attorneys/accountants |
| Additional Funds | $40,000 | $60,000 | As arranged | As incurred | Employees, suppliers, |
| (3 months)16 | utilities, lessors, etc. | ||||
| Total17 | $188,500 | $255,500 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 16–18)
What This Means (2024 FDD)
According to All States M.E.D.'s 2024 Franchise Disclosure Document, the estimated low cost for equipment is $20,000. This figure represents the minimum amount a new franchisee should expect to spend on the necessary equipment to begin operations. This cost is paid to third parties and is typically due as incurred.
It's important to note that this is just an estimate, and the actual cost may vary. The FDD also lists a high-end estimate of $30,000 for equipment, suggesting that costs can fluctuate depending on the specific equipment chosen and vendor pricing. Prospective franchisees should carefully consider their equipment needs and obtain quotes from multiple vendors to get a more accurate picture of potential expenses.
This initial investment in equipment is a significant expense for new All States M.E.D. franchisees. Understanding the range of potential costs and planning accordingly is crucial for ensuring a successful launch. The FDD advises that all fees payable to All States M.E.D. are non-refundable, but whether fees paid to third parties are refundable depends on their policies.