What is the estimated low and high range for Furniture, Fixtures and Equipment 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.
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 initial investment for furniture, fixtures, and equipment ranges from $60,000 to $86,000. This estimate covers the costs associated with the specified studio furniture, fixtures, and equipment that Deka Lash requires franchisees to use. The estimate also includes shipping and lighting costs. Franchisees will also incur costs to have these items installed in their studio.
The FDD notes that the costs may vary depending on the number of beds and the extent of furnishing in the common areas of the studio. The estimated initial investment is based on studios that have 3 to 5 beds. These costs are paid to third-party vendors and are due before opening, as arranged between the franchisee and the vendors.
Prospective franchisees should carefully consider these costs and obtain detailed quotes from approved vendors to ensure they accurately budget for this portion of their initial investment. It is important to note that these figures are estimates, and actual costs may vary based on specific circumstances and vendor pricing.