What is the initial franchise fee for a Buildingstars franchise with a monthly contract revenue of $10,000?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
the Initial Franchise Fee;
Initial Franchise Fee - Cash
| Monthly Contract Revenue | Rate | MCR Fee | Base Fee | Initial Franchise Fee (lump sum) |
|---|---|---|---|---|
| $10,000 | 300% | $30,000 | $6,995 | $36,995 |
Initial Franchise Fee - Financed
If financed, you must make a minimum down payment of $6,995 upon the execution of the Corporate Franchise Agreement and execute a Promissory Note for the amount financed.
Source: Item 5 — INITIAL FEES (FDD pages 11–14)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the initial franchise fee for a Corporate Program franchise with a $10,000 monthly contract revenue is $36,995 if paid in cash. This fee is comprised of a $6,995 base fee and a $30,000 MCR (Monthly Contract Revenue) fee, where the MCR fee is calculated as 300% of the monthly contract revenue.
If the initial franchise fee is financed, the total initial franchise fee increases to $46,995. This financed option requires a minimum down payment of $6,995, with the remaining $40,000 financed over 20 months. The monthly payments for the financed amount are $2,000.
It is important to note that these figures apply specifically to the Corporate Program. The FDD also outlines initial franchise fees for Technician and On-Site Manager programs, which have different fee structures and payment terms. Prospective franchisees should carefully consider which program best aligns with their business goals and financial capabilities, as well as whether to finance the initial franchise fee, as this decision significantly impacts the total cost.