What is the method of payment for furniture and fixtures for a Card My Yard franchise?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
s of travel, lodging and meals |
| TYPE OF | AMOUNT | AMOUNT | METHOD | WHEN DUE | TO WHOM |
|---|---|---|---|---|---|
| EXPENDITURE | (LOW) | (HIGH) | OF PAYMENT | PAYMENT IS TO BE MADE | |
| Initial Franchise Fee1 | $8,500 | $8,500 | Lump sum | When you sign Franchise Agreement |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–27)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, the method of payment for furniture and fixtures is "as arranged." This means that the payment terms are determined between the franchisee and the third-party suppliers from whom they purchase these items. The estimated cost for furniture and fixtures ranges from $150 to $500, and payment is due as incurred. Note 3 in Item 7 specifies that all furniture and fixtures, including letter/sign storage racks, must meet Card My Yard's standards and specifications.
This "as arranged" payment method is fairly common in franchising, as it allows franchisees to negotiate terms that work best for their individual circumstances and financial situations. However, it also places the responsibility on the franchisee to manage these relationships and ensure timely payments. Prospective franchisees should clarify with Card My Yard what standards and specifications apply to furniture and fixtures to ensure they are sourcing compliant items.
It is important for prospective Card My Yard franchisees to factor these costs and payment terms into their overall budget and financial planning. Understanding the flexibility and responsibility that comes with the "as arranged" payment method can help franchisees manage their cash flow effectively during the initial setup phase of their business. Additionally, franchisees should confirm with the franchisor a list of approved third-party suppliers to ensure compliance with brand standards.