What is the low estimate for insurance for a Benjamin Franklin Plumbing franchise?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made | |
|---|---|---|---|---|---|
| Low Estimate | High Estimate | ||||
| (2) Franchise Fee | $5,000 | $5,000 | Lump sum or financed | On signing of Franchise Agreement | Us |
| Grand | $0 | $6,000 | As arranged | As incurred | Vendors |
| (3) | |||||
| Opening Marketing | |||||
| Rent/Lease of Real Estate | $0 | $9,270 | As arranged | As incurred | Landlord |
| (4) | |||||
| (5) | $1,030 | $4,120 | As arranged | As incurred | Contractor or |
| Leasehold Improvements | Landlord | ||||
| Computer, Technology | $0 | $4,120 | As arranged | As incurred | Vendors |
| (6) | |||||
| Systems, and Software | |||||
| Office Furniture | $1,030 | $4,120 | As arranged | As incurred | Vendors |
| (7) | |||||
| and Equipment | |||||
| Machinery, | $1,030 | $5,150 | As arranged | As incurred | Vendors |
| (8) | |||||
| Tools and Equipment | |||||
| (9) | $3,708 | $7,416 | Lump sum or | As incurred or | Vendors |
| Vehicles | installments | periodically | |||
| Vehicle Upfitting (10) | $0 | $5,150 | As arranged | As incurred | Vendors |
| (11) | $0 | $5,150 | As arranged | As incurred | Vendors |
| Signage for Vehicles | |||||
| (12) | $1,030 | $5,150 | As arranged | As incurred | Vendors |
| Office Signage | |||||
| Type of Expenditure | Amount Low Estimate | High Estimate | Method of Payment | When Due | To Whom Payment is to be Made |
| Travel Expenses (13) for Initial Training | $2,575 | $5,150 | As arran |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 28–37)
What This Means (2025 FDD)
According to the 2025 Benjamin Franklin Plumbing FDD, the low estimate for insurance is $2,575, while the high estimate is $5,150. These costs are to be paid as incurred to vendors and can be paid as arranged or financed. Insurance costs can vary depending on the location of the franchise, the franchisee's prior experience with the insurance carrier, and the loss experience of the carrier.
Prospective franchisees should note that these figures are estimates and the actual costs may differ. It is advisable to consult with an insurance agent or broker to determine the appropriate level of coverage and to obtain accurate quotes based on their specific circumstances. Factors such as the number of vehicles, employees, and the territory's location can influence insurance expenses.
Understanding the factors that affect insurance costs and obtaining personalized quotes will help franchisees budget effectively and ensure they have adequate protection for their Benjamin Franklin Plumbing business. Reviewing Item 8 of the FDD provides more information regarding insurance requirements.