What is the estimated low cost for Design / Architectural Plans for a Deka Lash franchise?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
ESTMENT FRANCHISE AGREEMENT
| Fee | Estimated | Estimated | Method of | When Due | To Whom Payment | |
|---|---|---|---|---|---|---|
| Amount Low | Amount High | Payment | is to be Made | |||
| Initial Franchise Fee (Note 1) | $59,900 | $59,900 | Wire / ACH | Upon entering into franchise agreement | Us | |
| Operations Onboarding & First Studio | $5,450 | $5,450 | Wire / ACH | Upon entering into | Us | |
| Opening Support Fee (Note 2) | franchise agreement | |||||
| Initial Staff Training & Certification | $3,750 | $3,750 | Wire / ACH | Upon entering into | Us | |
| (Note 3) | franchise agreement | |||||
| New Franchisee Training Travel, | $300 | $3,000 | As Arranged | Before Opening | Third-party vendors | |
| Meals & Lodging (Note 4) | ||||||
| Design / Architectural Plans (Note 5) | $1,000 | $5,000 | As Arranged | Before Opening | Third-party vendors | |
| Leasehold Improvements & Project | $75,000 | $150,000 | As Arranged | Before Opening | Third-party vendors | |
| Management (Note 6) | ||||||
| Rent & Security Deposits (Note 7) | $12,000 | $25,000 | As Arranged | Monthly | Landlord & Third- party suppliers | |
| Signage (Note 8) | $5,000 | $10,000 | As Arranged | Before Opening | Third-party vendors | |
| Furniture, Fixtures and Equipment | $60,000 | $86,000 | As Arranged | Before Opening | Third-party vendors | |
| (Note 9) | ||||||
| Flooring (Note 10) | $5,000 | $8,000 | As Arranged | Before Opening | Third-party vendors | |
| Computers and Hardware (Note 11) | $2,000 | $5,000 | As Arranged | Before Opening | Third-party vendors | |
| Start-up Supplies / Inventory (Note 12) | $13,500 | $13,500 | As Arranged | Before Opening | Us & Third-party vendors | |
| Grand Opening / Marketing (Note 13) | $9,000 | $12,000 | As Arranged | Before Opening | Us & Third-party vendors | |
| Insurance & Permits (Note 14) | $3,250 | $7,500 | As Arranged | As incurred | Third-party vendors | |
| Professional Fees (Note 15) | $1,250 | $3,750 | As Arranged | As incurred | Third-party vendors | |
| Utilities (Note 16) | $500 | $1,500 | As Arranged | As incurred | Third-party utilities | |
| Payroll (Note 17) | $23,000 | $35,000 | As Arranged | Bi-Weekly or Semi- Monthly | Employees | |
| Additional Funds (Note 18) | $6,000 | $15,000 | As Arranged | As incurred | Us & Third-party Vendors | |
| TOTAL (Note 19) | $285,900 | $449,350 | #### Table 1 Notes |
None of the fees paid to us in this table are refundable. Whether fees paid to third parties are refundable would depend upon the policies of those third parties.
Note 1 – Initial Franchise Fee. We base the initial franchise fee on your acquisition of one territory. We offer a 25% discount for military veterans with proper honorable discharge documentation. If you are acquiring an open and operating Franchised Business, the initial franchise fee is $19,900.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–27)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, the estimated low cost for Design / Architectural Plans is $1,000. The high end of the estimate is $5,000. These fees are paid to third-party vendors and are due before opening. Note 5 clarifies that the low cost is based on using Deka Lash's third-party Furniture, Fixtures, and Equipment provider to lay out the space, which eliminates the need for architectural plans.
However, if architectural plans are desired by the franchisee or required by the local authorities, the franchisee will incur architectural fees. The cost of these plans can vary depending on the complexity of the space, the layout, and construction needs. This means that franchisees need to consider local regulations and their specific design preferences when budgeting for this expense.
For a prospective Deka Lash franchisee, it's important to investigate local requirements for architectural plans early in the process. If plans are not required and the franchisee is comfortable with the layout provided by the Furniture, Fixtures, and Equipment provider, they may only need to budget the lower estimate of $1,000. However, if plans are needed, it would be prudent to get quotes from local architects to get a more accurate estimate of the potential costs, which could reach up to $5,000 or potentially more depending on the project's complexity.