When is the Signage expenditure due for a Bang Cookies satellite location?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | |
|---|---|---|---|---|
| Initial Franchise Fee (Note 1) | $55,000 | Lump sum | When Franchise Agreement is signed | Us |
| Construction and Leasehold Improvements (Note 2) | $30,000 - $70,000 | As arranged | As incurred | Contractors, suppliers, and/or landlord |
| Architect & Engineering | $7,500 - $15,000 | As arranged | As incurred | Architect & Engineer |
| Lease Deposits and Rent – Three | $10,000 - $30,000 | As arranged | As incurred | Landlord |
| Months (Note 3) | ||||
| Furniture, Fixtures and | $89,370 - $115,190 | As arranged | As incurred | Suppliers |
| Equipment (Note 4) | ||||
| Signage (Note 6) | $5,000 – $18,500 | As arranged | As incurred | Suppliers |
| Computer, Software, and Point of | $2,000 – $2,000 | As arranged | As incurred | Suppliers |
| Sale Syst |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 17–24)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, the expenditure for signage at a satellite location is due as incurred. The estimated cost for signage ranges from $5,000 to $18,500. Payment is arranged with suppliers.
This means that a new Bang Cookies franchisee will need to pay for signage as the costs are incurred during the setup phase of their satellite location. This could involve multiple payments to suppliers as different elements of the signage are produced and installed. It's important to budget for this expense and have funds available as the work progresses.
Unlike some franchise systems where signage costs might be bundled into a larger construction or build-out package, Bang Cookies requires franchisees to manage this expense directly with their chosen suppliers. This gives the franchisee some control over the process and potentially the cost, but it also requires careful management to ensure that the signage meets Bang Cookies's specifications and is installed correctly and on time.