When is the advertising fee due for a Cd One Price Cleaners franchise?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
| (1) Type of expenditure | (2) Amount for a smaller Plant Store | (2) Amount for a larger Plant Store | (3) Method of payment | (4) When due | (5) To whom payment is to be made |
|---|---|---|---|---|---|
| Franchise fee(1) | $30,000 | $30,000 | Lump sum or installments | Upon signing your Franchise Agreement | Us |
| Travel and living expenses while training(2) | $1,500 to $8,000 | $1,500 to $8,000 | As arranged | As incurred | Suppliers of transportation, food and lodging |
| Real estate services and costs (including 3 months’ occupancy costs and security deposit)(3) | $32,000 to $44,000 | $60,000 to $90,000 | As arranged | As specified in lease or sublease | Lessor or sublessor |
| Advertising(4) | $50,000 to $75,000 | $50,000 to $75,000 | Lump sum | Before opening | Us |
| Start-up inventory, supplies, pickup and delivery initial supplies and store set-up | $39,000 to $45,000 | $41,000 to $47,000 | As arranged | Before opening | Suppliers |
| Construction, leasehold improvements and decorating costs(5) | $200,000 to $250,000 | $350,000 to $450,000 | Installments | Before opening | General contractor and suppliers |
| Fixtures, fixed assets, equipment, Computer System, initial POS software license fee and security system and installation(6) | $675,000 to $750,000 | $800,000 to $875,000 | Lump sum | Before opening | Various supplier including the POS vendor |
Source: Item 7 — Estimated Initial Investment (FDD pages 20–28)
What This Means (2025 FDD)
According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, the advertising fee for both smaller and larger plant stores, as well as satellite stores, is due before opening. The method of payment is a lump sum. For a smaller or larger plant store, the advertising expenditure ranges from $50,000 to $75,000, payable to Cd One Price Cleaners. For a satellite store, the advertising expenditure ranges from $10,000 to $15,000, also payable to Cd One Price Cleaners.
This means that a prospective Cd One Price Cleaners franchisee must budget for this advertising expense as part of their initial investment and ensure that the lump sum payment is made before the store's grand opening. This advertising expenditure covers new store advertising expenses for promotional handouts, direct mail, printed materials, social media and other online advertising, outdoor billboard signage (if applicable), printed advertising included in multi-piece direct mailings, banner and if applicable, radio advertisements.
It's important to note that the amount allocated for advertising can vary depending on the type of store (plant or satellite) and potentially be reduced for smaller plant stores if there are other Cd One Price Cleaners stores in the market area. Franchisees should clarify with Cd One Price Cleaners whether any reductions apply to their specific location to accurately estimate their initial advertising expenditure.
Prospective franchisees should also inquire about the specific advertising activities covered by this fee and the level of control they have over the advertising strategy and materials. Understanding these details will help franchisees assess the value of the advertising fee and plan their marketing efforts effectively.