What is the range for the estimated total initial investment for a Gokhale Method franchise?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
| CATEGORYOF INVESTMENT | AMOUNT | METHODOF PAYMENT | WHENDUE | TOWHOMPAID |
|---|---|---|---|---|
| InitialFranchiseFee | $4,000 | Cashorcheck | Priorto commencementof ImmersionWeek | Franchisor. Note1 |
| InitialTraining Expenses–Travel, foodandlodging | $740-3,500 | Cashorcredit card | Priortoorduring ImmersionWeek | Vendors. Note2 |
| RealEstateand | $0–1,000 | Variesby | Variesbylandlord | Landlord |
| SpaceRental | landlord | Note3 | ||
| Furnishingsand equipment | $2,486– $9,292 | Checkor creditcard | Priortoapprovalto teach | Franchisorand third-partyvendors. Note4 |
| Telephoneand | $100-$450 | Variesby | Variesbyvendor | Vendor |
| InternetConnections | vendor | Note5 | ||
| SecurityDeposits, utilitydeposits,other prepaidexpenses | $100-$300 | Variesby vendor | Variesbyvendor | |
| Continuing Education | $830 | Checkor creditcard | Priorto commencementof business | Franchisor Seenote6. |
| MarketingExpenses | $100–$600 | Checkor creditcard | Varies | Franchisoror vendors. Seenote7. |
| AdditionalFunds– | $0-$3,000 | Varies | Varies | Seenote8. |
| threemonths | ||||
| Insurance | $175–$450/ year | Variesby carrier | Priorto commencementof business | Vendors. Note9 |
| TOTAL: | $8,531– $23,422 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 13–15)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, the estimated total initial investment to begin operating a franchise ranges from $8,531 to $23,422. This total includes several categories of expenses.
The initial franchise fee is $4,000. Initial training expenses, including travel, food, and lodging, range from $740 to $3,500. Real estate and space rental costs can range from $0 to $1,000, depending on the rental arrangements. Furnishings and equipment are estimated to cost between $2,486 and $9,292, while telephone and internet connections range from $100 to $450. Security and utility deposits, along with other prepaid expenses, are estimated to be between $100 and $300. Continuing education costs $830. Marketing expenses range from $100 to $600. Additional funds for the first three months of operation can range from $0 to $3,000. Finally, insurance costs between $175 and $450 per year.
It is important to note that these figures are estimates, and the actual costs may vary depending on factors such as the location, the amount of space rented, and the franchisee's management skills. The FDD advises prospective franchisees to carefully review these figures with a business advisor, accountant, or attorney before making any decision to purchase a franchise. Gokhale Method does not offer financing for the initial investment.