What is the estimated range for the 'Additional Funds - 3 months' expenditure for a Floyds 99 franchise?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 7. ESTIMATED INITIAL INVESTMENT
YOUR ESTIMATED INITIAL INVESTMENT
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|
| Signs | $14,000 – $55,000 | As incurred | B |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 20–24)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, the estimated range for 'Additional Funds - 3 months' is between $40,000 and $71,000. These funds are intended to cover pre-operational expenses not explicitly listed elsewhere in the initial investment, as well as the necessary funds to sustain the business during its first three months of operation, excluding the franchisee's salary.
Floyds 99 notes that these figures are based on the principals' 22 years of experience. However, the FDD advises prospective franchisees to consult with a financial advisor to determine the appropriate amount of working capital needed, as the actual amount may exceed this estimate. The amount needed will depend on how quickly the location ramps up and becomes profitable.
This estimate is crucial for new franchisees as it directly impacts their ability to manage cash flow and sustain the business until it becomes self-sufficient. It is important to carefully consider all potential expenses and revenue projections to ensure adequate funding during the initial months of operation. Franchisees should also be prepared to secure additional capital if revenues do not meet expectations or if unforeseen expenses arise.