What is the estimated high cost for Additional Funds for 3 months for a Beem Light Sauna?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure (1) | Low Estimate | High Estimate | Method of Payment | When Due | To Whom Payment Is Made |
|---|---|---|---|---|---|
| Additional Funds, 3 months (19) | $15,000 | $50,000 | As incurred | As incurred | Employees, utilities, suppliers, us, and other third parties, etc. |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 26–31)
What This Means (2025 FDD)
According to Beem Light Sauna's 2025 Franchise Disclosure Document, the estimated high cost for additional funds for 3 months is $50,000. This covers the crucial initial period after opening. These funds are intended to cover operating capital that a franchisee may need during the first three months of business.
The FDD specifies that these additional funds may be needed to cover expenses such as employee salaries and wages, utilities, payroll taxes (including payroll for the grand opening promotional period and pre-opening training), rent, Royalty Fees, Brand Fund Fees, Technology Fees, POS system fees, legal and accounting fees, additional advertising, health and workers' compensation insurance, bank charges, miscellaneous supplies and equipment, staff recruiting expenses, state tax and license fees, deposits, prepaid expenses, and other miscellaneous items. Beem Light Sauna notes that this list is not exhaustive, and other expenses may arise.
The actual expenses incurred during this start-up phase can vary significantly based on factors like local economic and market conditions, the franchisee's business experience, and the level of traffic at the location. Therefore, while $50,000 is the high-end estimate, franchisees should carefully assess their local circumstances and business acumen to determine if they need to budget for more than this amount to ensure sufficient operating capital during the initial months.