When are payments for vehicles due for a Cr3 American Exteriors franchise?
Cr3_American_Exteriors Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure* | Low** | High | Method of payment | When Due | To Whom Payment is to be Made |
|---|---|---|---|---|---|
| Vehicles (Note 5) | $0 | $60,000 | As Incurred | Before beginning operations | Third Parties |
Note 5: Vehicles. We do not require any vehicle used by you to meet specifications regarding year, make, or model. If you already own or rent a vehicle, you will not incur the expense of purchasing a vehicle; however, once you begin operations you will be required to outfit your vehicle with our branding and marks. We have included the estimated cost of branding in the category for Additional Funds – 3 months.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–24)
What This Means (2025 FDD)
According to Cr3 American Exteriors's 2025 Franchise Disclosure Document, payments for vehicles are due before beginning operations. The estimated cost for vehicles ranges from $0 to $60,000, and payments are made to third parties. This cost is 'as incurred,' meaning franchisees pay as they acquire the vehicle.
Note 5 clarifies that Cr3 American Exteriors does not mandate specific vehicle requirements regarding year, make, or model. Franchisees who already own or rent a vehicle will not incur the expense of purchasing one. However, once operations commence, the vehicle must be outfitted with Cr3 American Exteriors's branding and marks. The estimated cost for this branding is included in the 'Additional Funds – 3 months' category.
For prospective Cr3 American Exteriors franchisees, this means that the timing of vehicle payments depends on whether they need to purchase or lease a vehicle. If a new vehicle is required, payment is due before operations begin. However, if the franchisee already has a suitable vehicle, they only need to pay for branding costs, which are accounted for in the additional funds needed for the first three months of operation.