What is the estimated range for Floyds 99's security deposits, utility deposits, and business licenses?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|
| Security Deposits, Utility Deposits, Business Licenses (See Note 7) | $5,000 – $12,000 | As incurred | Before Opening | Other Suppliers |
- Note 7: Security Deposits, Utility Deposits and Business Licenses.
Security deposits, if applicable to your Barbershop, range from one to two months' rent; utility deposits range from a nominal amount to approximately $1,000; and business licenses range from approximately $100 to $3,000.
Stylists and barbers are responsible for obtaining and maintaining their own individual licenses; however, states typically require that the Barbershop have a separate license.
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 initial investment for security deposits, utility deposits, and business licenses ranges from $5,000 to $12,000. These costs are incurred before opening and are typically paid to other suppliers. Security deposits for a Floyds 99 Barbershop, if applicable, can range from one to two months' rent. Utility deposits are estimated to range from a nominal amount up to approximately $1,000. Business licenses are estimated to cost between approximately $100 and $3,000.
It is important to note that while stylists and barbers are responsible for obtaining and maintaining their own individual licenses, the Floyds 99 Barbershop itself is typically required to have a separate license. This means a franchisee must budget not only for the business licenses, but also understand that their employees will have licensing obligations as well.
These figures are estimates and can vary based on the location of the Floyds 99 shop and local regulations. A prospective franchisee should verify these costs with local authorities and landlords to obtain accurate figures for their specific location. Understanding these costs is crucial for budgeting and financial planning before opening a Floyds 99 franchise.