When are construction service payments due for an Annex Brands Express Retail Center?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure (1) | Amount (2) | Method of Payment | When Due | To Whom Payment Is To Be Made | |
|---|---|---|---|---|---|
| Initial franchise fee (3) | $35,000 | Lump sum | On signing franchise agreement | Us | |
| Fixtures | $40,000 - $50,000 | Lump sum | Before opening | Us | |
| Mailboxes | $14,000 - $16,000 | Lump sum | Before opening | Us | |
| Package lockers (4) | $3,500 | Lump Sum | Before opening | Us | |
| Flooring | $6,000 - $9,000 | Lump sum | Before opening | Us | |
| Interior signage (5) | $1,000 - $2,500 | Lump sum | Before opening | Us or suppliers you choose | |
| Exterior signage (5) | $6,000 - $8,000 | Lump sum | Before opening | Us or suppliers you choose | |
| Construction services (6) | $70,000 - $90,000 | As agreed | Before opening | Us or substitute licensed contractor | |
| Construction consultation fee, if applicable (7) | (7) | Before construction begins | Before opening | Us | |
| Equipment (8) | $4,000 - $6,500 | As agreed | Before opening | Us or suppliers you choose |
| Type of Expenditure (1) | Amount (2) | Method of Payment | When
Source: Item 7 — Estimated Initial Investment (FDD pages 32–39)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, the construction service payments for an Express Retail Center are due before opening, as agreed upon with either Annex Brands or a substitute licensed contractor. The estimated cost for these construction services ranges from $70,000 to $90,000.
Annex Brands designates a contractor familiar with their requirements. If a franchisee uses Annex Brands' designated contractor, they do not pay a construction consultation fee. However, if a franchisee chooses to use a substitute contractor, subject to Annex Brands' approval, a construction consultation fee of $2,500 is due before construction begins.
Prospective franchisees should note that the cost of construction services can vary significantly based on the size, condition, and location of the retail center. The FDD indicates that for a new standard or flex retail center, construction services include the purchase and installation of a 24-hour access security gate and digital keypad entry, with costs ranging from $10,000 to $15,000. However, this may not be required for a new express retail center or if converting an existing business. Franchisees should clarify all construction requirements and payment schedules with Annex Brands to avoid unexpected costs.