To whom are the other display costs paid for a Floors To Go franchise?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
L INVESTMENT**
YOUR ESTIMATED INITIAL INVESTMENT
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made |
|---|---|---|---|---|
| Initial Membership Fee(1) | $10,000 | $1,000 upfront fee; |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 14–17)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, the costs for other displays, which range from $400 to $1,500 per showroom, are paid to third parties. These costs are incurred when the franchisee purchases the displays.
These "other displays" are optional, but if a franchisee chooses to sell products containing trademarks licensed in the future by Floors To Go, they will be required to purchase separate display racks. The FDD indicates that the franchisee pays these third parties directly upon the purchase of the displays.
Prospective Floors To Go franchisees should factor these potential display costs into their initial investment calculations, especially if they anticipate selling a wide range of products that might require additional displays. Understanding the payment terms and the specific third-party vendors involved can help in budgeting and managing initial expenses.