When are payments for supplies due for a Fly Fitness franchise?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
| Leasehold Improvements, Construction and/or Remodeling6 | $160,500 | $267,500 | As required by supplier, contractor, or landlord | Before opening, as required by supplier. | Suppliers, contractor and/or Landlord |
|---|---|---|---|---|---|
| Furniture, Fixtures and Equipment7 | $3,210 | $6,420 | As required by supplier | Before opening | Suppliers |
| Signage8 | $4,280 | $7,490 | As incurred | Before opening | Suppliers |
| Business Licenses and Permits9 | $214 | $535 | As required by government agencies | Before opening, as required by government agencies | Government Agencies |
| Computer | $1,605 | $2,140 | As required by | Before opening | Suppliers |
| Systems10 | suppliers | ||||
| Security System | $0 | $2,140 | As required by suppliers | Before opening | Suppliers |
| Initial Inventory to Begin Operating11 | $7,490 | $16,050 | As required by suppliers | Before opening | Suppliers and our affiliate |
| Supplies12 | $2,140 | $3,210 | As required by suppliers | Before opening | Suppliers |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 14–18)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the payments for supplies are due before opening the franchise, as required by the suppliers. The estimated cost for these initial supplies ranges from $2,140 to $3,210. These supplies encompass items such as towels, various amenities like deodorant and shampoo, toiletries, paper towels, cleaning supplies, white boards, office supplies, consumable office supplies, an office computer, and a printer.
This means that a prospective Fly Fitness franchisee should budget for these expenses as part of their initial investment and plan to make these payments to the suppliers before the franchise location's grand opening. It is important to note that the specific amount due will depend on the chosen suppliers and the quantity of supplies purchased.
Understanding the payment terms and due dates for supplies is crucial for managing cash flow during the initial phase of setting up a Fly Fitness franchise. Franchisees should communicate with suppliers to clarify payment schedules and ensure timely payments to avoid any delays in receiving necessary supplies for their business operations.