factual

Does the utilities estimate for a Clean Your Dirty Face Facial Bar include deposits?

Clean_Your_Dirty_Face Franchise · 2025 FDD

Answer from 2025 FDD Document

months of POS System Fees.

    1. This estimate includes utilities include gas service, electric service and other utilities as you might need to operate your CYDF Facial Bar. Utility companies may also require you to place a deposit before installing telephone, gas, electricity and related utility services. These deposits may be refundable in accordance with the agreements made with the utility companies. You may also be required to pay a security deposit under your lease agreement, which may be refundable under the terms of that lease agreement. You will also be required to incur other prepaid expenses, such as for business licenses and permitting. This estimate also includes fees for legal (e.g., franchise documentation review) and start-up costs associated with the franchisee's new corporate entity. These costs will vary based on

  • the amount of professional services you elect to use, and the cost of the service providers you elect to retain.

Source: Item 7 — ESTIMATED INITIAL INVESTMENT FOR A CYDF FACIAL BAR (FDD pages 16–19)

What This Means (2025 FDD)

According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, the estimated initial investment for utilities includes security deposits. The FDD states that utility companies may require a deposit before installing services like telephone, gas, and electricity. These deposits may be refundable based on agreements with the utility companies. Additionally, the lease agreement may also require a security deposit, which could be refundable under the lease terms.

The table outlining the estimated initial investment includes a line item for "Utilities, Security Deposits Business Licenses, and Professional Fees" with a range of $2,000 to $5,000. This amount is to be incurred as needed and paid to third-party suppliers. This suggests that the initial investment range accounts for the potential costs of utility and lease security deposits, as well as business licenses and professional fees.

Prospective Clean Your Dirty Face franchisees should budget for the possibility of paying security deposits for utilities and the lease, in addition to the ongoing utility costs. The FDD advises franchisees to review all figures carefully with a business advisor before deciding to acquire the franchise, which would include understanding the potential deposit requirements in their specific location.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.