According to Annex Brands' 2025 Franchise Disclosure Document, the initial franchise fee for a new standard or flex retail center is $45,000. This fee is paid in a lump sum when signing the franchise agreement. For franchisees converting an existing business to a standard or flex retail center, the initial franchise fee is $35,000, also paid as a lump sum upon signing the franchise agreement.

This initial franchise fee grants the franchisee the right to operate an Annex Brands location under the company's brand name and system. It covers Annex Brands' initial costs in setting up the franchise, including training and support. Note 3 in Item 7 mentions that initial training is included in the initial franchise fee. Item 5 provides more information about possible discounts to the initial franchise fee and information on the circumstances under which a portion of the initial franchise fee may be refundable.

It's important to note that this fee is just one part of the total investment required to open an Annex Brands franchise. Other costs, such as fixtures, signage, construction, and initial inventory, must also be considered. These additional costs can vary depending on the location and size of the retail center. For example, construction services for a new standard or flex retail center typically range between $50 and $75 per square foot.

Prospective franchisees should carefully review Item 5 of the FDD for details on any potential discounts or refund policies related to the initial franchise fee. They should also inquire about the specific factors that could influence the total initial investment, such as the condition of the leased facility and local construction costs. Understanding these factors will help franchisees accurately estimate their startup costs and plan their finances accordingly.