What is the total range of the estimated initial investment for an Aw franchise, considering the initial franchise fee in Item 5 and the other expenditures listed in Item 7?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount- Range Estimated | Method of Payment | When Payable | To Whom Payment is Made |
|---|---|---|---|---|
| Initial Franchise Fee (Note 1) | $30,000 | 2 lump sum payments | ½ when you sign the franchise agreement; and ½ when we approve your location | Us |
| Travel and Living Costs while Training (Note 2) | $2,000 - $10,000 | As arranged | As agreed | Transportation lines, hotels, restaurants |
| Lease Security Deposit and Rent (1st 3 months) (Note 3) | $4,000 - $16,000 | As arranged | As arranged | Lessor |
| Leasehold Improvements | $30,000 - | As incurred | As agreed | Contractors |
| (Note 4) | $60,000 | |||
| Equipment/ Signage/ Furniture/Fixtures (Note 5) | $57,500 - $143,750 | As incurred | As agreed | Approved Suppliers |
| POS Computer Systems | $12,330 - | As incurred | As agreed | Designated |
| (Note 6) | $25,330 | Suppliers | ||
| Initial Inventory and Supplies (Note 7) | $10,000 - $19,000 | As incurred | As agreed | Designated and Approved Suppliers, including Us |
| Utility Deposits | $2,000 - $4,000 | As incurred | As arranged | Municipalities |
| Insurance (Note 8) | $900 – $16,000 | As incurred | As arranged | Insurance company |
| Miscellaneous Pre – Opening Expenses (Note 9) | $10,000 - $30,000 | As incurred | As incurred | Licensing agencies; Professional advisors |
| Grand Opening | $15,000 - | As incurred | During the 90 | Suppliers |
| Advertising (Note 10) | $30,000 | days after opening | ||
| Additional Funds (1st 3 | $40,000 - | As incurred | As incurred | You determine |
| months) (Note 11) | $80,000 | |||
| TOTAL ESTIMATED INITIAL INVESTMENT | $213,730 – $464,080 |
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the total estimated initial investment to open an Aw franchise ranges from $213,730 to $464,080. This range encompasses various expenditures, including the initial franchise fee, travel and living costs during training, lease security deposit and rent, leasehold improvements, equipment, signage, furniture, fixtures, POS computer systems, initial inventory and supplies, utility deposits, insurance, miscellaneous pre-opening expenses, grand opening advertising, and additional funds for the first three months of operation.
The initial franchise fee is $30,000, payable in two lump sum payments. Half is due upon signing the franchise agreement, and the other half is due when Aw approves the location. Other significant costs include leasehold improvements, which range from $30,000 to $60,000, and equipment, signage, furniture, and fixtures, which range from $57,500 to $143,750. POS computer systems range from $12,330 to $25,330, and grand opening advertising costs a flat $15,000 to $30,000.
Prospective franchisees should note that these figures are estimates, and the actual investment may vary. Factors influencing the total cost include the size and condition of the premises, local economic conditions, and the franchisee's management skills. Aw does not offer direct or indirect financing for the initial investment, so franchisees must secure their own funding. It is advisable to carefully review these estimates with a business advisor before making a decision.