Does the Benjamin Franklin Plumbing initial investment estimate include rent?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
space varies considerably depending on the location, type of property, and market conditions affecting commercial property. The estimate in the table includes three months of rent; however, your landlord may also require you to provide a security deposit of one month's or two months' rent. This cost may not apply if you already lease a space which meets our standards for Franchised Businesses. If you decide to purchase rather than lease the real estate, your initial investment cost may be substantially higher. If you already own the real estate to be used, the cost would be $0, although there may be property taxes payable.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 28–37)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the initial investment estimate does include rent. Specifically, the estimate includes three months of rent for the business location. However, the FDD also notes that the landlord may require a security deposit, potentially equivalent to one or two months' rent, which would be an additional cost for the franchisee.
The FDD specifies that the estimate is based on a location with approximately 2,000 to 3,000 rentable square feet. The actual cost per square foot can vary significantly depending on the location, the type of property, and the prevailing market conditions for commercial properties. This means that franchisees in different areas may experience considerable differences in rental expenses.
It's important to note that if a franchisee chooses to purchase the real estate instead of leasing, the initial investment cost could be substantially higher. Conversely, if the franchisee already owns a suitable property, the cost could be $0, although property taxes would still apply. Therefore, prospective Benjamin Franklin Plumbing franchisees should carefully evaluate their real estate options and consider these factors when estimating their initial investment.