What is the estimated range for professional fees a Fitstop franchisee can expect to pay for a lawyer and accountant?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
| YOUR ESTIMATED INITIAL INVESTMENT | |||||
|---|---|---|---|---|---|
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made | |
| Initial Franchise Fee1 | $50,000 | Lump sum | Upon execution | Us | |
| Initial Marketing Spend2 | $10,000 | Lump sum | Prior to opening | Approved Supplier for digital/online marketing; Third-Party Provider for other expenditures | |
| Other Initial Marketing and Promotional Activities2 | $1,000 to $10,000 | As arranged | As invoiced or agreed | Approved Supplier and/or other Third-Party Providers (videographer, etc.) | |
| Training-Related Costs and Expenses3 | $1,000 to $7,500 | As arranged | Prior to Opening | Third-Party Providers for Travel, Lodging, Meals and Local Transportation | |
| Site Selection Assistance | $0 to $10,000 | Lump sum | Prior to opening | Approved Supplier or other Third-Party Provider | |
| Security Deposit and other Pre-Opening Amounts under Lease for Approved Premises5 | $8,000 to $75,000 | As arranged between you and the landlord. | As negotiated and agreed in the lease | Third-Party Landlord | |
| Design and Layout | $3,000 to $10,000 | As arranged | Prior to opening | Approved Supplier(s) and/or Other Third-Party Provider(s) | |
| Operational Equipment and | $70,000 to $100,000 | Lump sum | Prior to opening | Approved Supplier(s) | |
| Supplies Package6 | |||||
| Leasehold Improvements7 | $100,000 to $325,000 | As arranged | As invoiced | Third-Party Contractor and Other Third-Party Vendors/Providers | |
| Signage: Exterior/Interior8 | $10,000 to $50,000 | As agreed | As invoiced | Approved Supplier(s) | |
| Computer System and Required Software – Initial Costs9 | $3,000 to $7,000 | Lump sum | As invoiced and prior to opening | Approved Supplier(s) | |
| Other FFE | $0 to $10,000 | As arranged | As incurred | Approved Supplier(s) and/or other Third-Party Vendor(s) | |
| Utility Deposits (water, | $1,000 to $3,000 | As | Prior to opening | Utility Providers | |
| electricity, gas) | incurred | ||||
| Insurance Premiums | $2,000 to $10,000 | As arranged | As incurred and invoiced | Third-Party Insurance Carrier/Provider | |
| Business Licenses & Permits | $500 to $10,000 | Lump sum | Prior to opening | Local, state, and/or federal government agencies |
| Professional Fees | $1,000 to $10,000 | As arranged | As invoiced | Third-Party Professional(s) – Lawyer and Accountant |
Source: Item 7 — TEM 7: ESTIMATED INITIAL INVESTMENT (FDD pages 15–19)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, franchisees can expect to pay between $1,000 and $10,000 in professional fees for a lawyer and accountant. These fees are arranged with third-party professionals and are invoiced as services are rendered.
These professional fees are part of the estimated initial investment, which ranges from $306,000 to $823,500. It is important to note that the cost for professional fees can vary based on the complexity of the legal and accounting services required, as well as the rates charged by the professionals in the franchisee's area.
Prospective Fitstop franchisees should budget accordingly and consider obtaining quotes from multiple lawyers and accountants to ensure they receive competitive rates. Understanding the scope of services needed and negotiating fees upfront can help manage these costs effectively. Consulting with experienced franchise professionals is advisable to navigate the legal and financial aspects of starting a Fitstop franchise.