How many months of rent are included in the Benjamin Franklin Plumbing initial investment estimate?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
If you decide to purchase rather than lease the real estate, your initial investment cost may be substantially higher.
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 includes three months of rent. However, the FDD notes that the landlord may also require a security deposit, which could be an additional one or two months' rent. This detail is important for prospective franchisees as it highlights the need to budget not only for the base rent but also for potential security deposits.
It's also important to note 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, type of property, and market conditions. Therefore, franchisees should research local commercial real estate rates to get a more accurate estimate for their specific area.
Furthermore, the FDD mentions that if a franchisee decides to purchase the real estate instead of leasing, the initial investment cost could be substantially higher. Alternatively, if the franchisee already owns the real estate, the cost would be $0, although property taxes may still apply. This provides franchisees with different options to consider based on their financial situation and business strategy.