What is the estimated range for additional funds needed for three months for a Deer Solution franchise?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Method of Payment | When Due | To Whom Payment is Made | |
|---|---|---|---|---|
| Initial Franchise Fee | $49,500 | Lump sum | When Franchise | Us |
| (Note 1) | Agreement is signed | |||
| Construction and | $0 – $2,000 | As arranged | As incurred | Contractors, |
| Leasehold | approved suppliers, | |||
| Improvements (Note 2) | landlord | |||
| Lease Deposits – | $0 – $900 | As arranged | As incurred | Landlord |
| Three Months (Note 3) | ||||
| Furniture and | $0 – $2,000 | As arranged | As incurred | Approved suppliers |
| Fixtures (Note 4) | ||||
| Utility Deposit | $0 – $200 | As arranged | As incurred | Suppliers |
| Equipment (Note 5) | $600 – $1,300 | As arranged | As incurred | Us, affiliates, approved suppliers |
| Initial Inventory | $3,700 – $4,400 | As arranged | As incurred | Us, affiliates, |
| (Note 6) | approved suppliers | |||
| Signage (Note 7) | $900 – $2,800 | As arranged | As incurred | Us, affiliates, approved suppliers |
| Computer, Software, and Business Management System (Note 8) | $1,400 – $2,800 | As arranged | As incurred | Us, affiliates, approved suppliers |
| Service Vehicle | $9,500 – $13,600 | As arranged | As incurred | Vehicle dealer |
| (Note 9) | ||||
| Start-Up Marketing | $15,000 | As arranged | As incurred | Us, affiliates, |
| (Note 10) | approved suppliers | |||
| Insurance Deposits – | $400 – $1,300 | As arranged | As incurred | Insurers |
| Three Months | ||||
| (Note 11) | ||||
| Travel for Initial | $900 – $2,800 | As arranged | As incurred | Airlines, hotels, |
| Training (Note 12) | restaurants | |||
| Professional Fees (Note 13) | $3,000 – $7,000 | As arranged | As incurred | Attorneys, accountants, advisors |
| Licenses and Permits | $500 – $1,500 | As arranged | As incurred | Government |
| (Note 14) | ||||
| Printing, Stationery and Office Supplies (Note 15) | $300 – $500 | As arranged | As incurred | Us, affiliates, approved suppliers |
| Additional Funds – Three Months (Note 16) | $11,100 – $41,400 | As arranged | As incurred | Us, affiliates, employees, suppliers, landlord, utility suppliers |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 20–23)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, the estimated range for additional funds needed for the first three months of operation is between $11,100 and $41,400. These funds are intended to cover operating expenses such as employee salaries, inventory, rent, and utilities. However, this estimate does not include compensation for the franchisee or owners, nor does it account for interest, finance charges, or payments incurred if the franchise development was financed.
Deer Solution based this estimate on the experiences of its affiliate in developing and operating a Deer Solution Business. The FDD emphasizes that this is only an estimate, and the actual amount of additional funds required may vary depending on the sales and overall performance of the Deer Solution Business. Prospective franchisees should carefully consider their financial situation and local market conditions to determine if they will need more than the estimated amount.
It is important for potential Deer Solution franchisees to understand that these additional funds are crucial for sustaining the business during its initial months. Without sufficient capital to cover operating expenses, the franchise may face financial difficulties early on. The FDD recommends that franchisees seek professional advice from attorneys and accountants to evaluate the franchise opportunity and review any leases or contracts. This will help ensure they are adequately prepared for the financial demands of starting and running a Deer Solution franchise.