To whom are the additional funds paid during the initial 3 months for a Christian Brothers Automotive franchise?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type Of Expenditure | Amount (Note 13, 16 and 17) | Method Of Payment (Note 14 And 15) | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|
| ADDITIONAL FUNDS DURING INITIAL 3 MONTHS | $30,000 to $40,000 (Note 13) | General operational expenses such as office supplies, employees, vendors and utilities | First three months of operations | Vendors, suppliers, employees and utility companies |
Source: Item 7 — INITIAL INVESTMENT (FDD pages 26–32)
What This Means (2025 FDD)
According to Christian Brothers Automotive's 2025 Franchise Disclosure Document, franchisees should anticipate spending between $30,000 and $40,000 during the first three months of operation. These funds are intended to cover general operational expenses.
Specifically, these additional funds are paid to vendors, suppliers, employees, and utility companies. These expenses are considered general operational expenses, including items like office supplies, employee wages, and utility bills.
Christian Brothers Automotive notes that these figures are estimates and represent discretionary expenses that franchisees may or may not choose to incur. Franchisees can choose to spend more than this estimated amount, but it will increase their total up-front investment and may require them to increase their down payment if they are financing.