What is the estimated range for a vehicle for an Aunt Millies Bakeries franchise?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | Payee |
|---|---|---|---|---|
| Vehicle4 | $2,500 to $55,000 | Lease or Purchase | As arranged | Non-affiliated third party vendor |
| Vehicle Maintenance8 | $156 to $780 | As needed | As needed | Third party vendor |
| Initial Insurance Coverage9 | $520 to $715 | Weekly installments | As billed | Non-affiliated third party insurer |
- 4 If you do not currently own a delivery vehicle that is adequate to service the Sales Area with the Products, you must purchase or lease a delivery truck from a third party.
The low estimate assumes you lease a vehicle.
The high estimate assumes you purchase a new vehicle.
- 8 Vehicle maintenance includes oil, grease, tires and other routine maintenance.
The low estimate is for a new vehicle and the high estimate assumes a used older vehicle.
The estimates are for the first 3 months of operation.
- 9 You must purchase the comprehensive general liability insurance, automobile liability insurance, and product liability insurance coverages set forth in the Aunt Millie's Bakeries Security Agreement attached as Exhibit H to this Franchise Disclosure Document.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 16–17)
What This Means (2025 FDD)
According to Aunt Millies Bakeries' 2025 Franchise Disclosure Document, the estimated cost for a vehicle ranges from $2,500 to $55,000. The lower end of this range assumes the franchisee will lease a vehicle, while the higher end assumes the purchase of a new vehicle. This cost is a significant part of the initial investment for an Aunt Millies Bakeries franchise.
The FDD notes that if a franchisee does not currently own a delivery vehicle adequate for servicing the sales area, they must purchase or lease a delivery truck from a third party. This implies that having a suitable vehicle is a prerequisite for operating the franchise. The vehicle is essential for picking up products daily for delivery, with possible exceptions on Wednesdays and Sundays.
Vehicle maintenance is also a factor, with estimated costs for the first three months of operation ranging from $156 to $780. The low estimate is for a new vehicle, while the high estimate is for a used, older vehicle. These maintenance costs include oil, grease, tires, and other routine maintenance. Additionally, franchisees must purchase comprehensive general liability, automobile liability, and product liability insurance, with estimated quarterly premiums ranging from $520 to $715, although this can be paid weekly through an approved vendor.
Prospective franchisees should carefully consider whether to lease or purchase a vehicle, factoring in the long-term costs of maintenance and insurance. The FDD recommends reviewing these figures with a business or financial advisor before making a decision to purchase a franchise. This large range in vehicle costs highlights the importance of carefully evaluating options and planning for this significant investment.