What is the total estimated initial investment range for a free-standing Gold Star building?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
YOUR ESTIMATED INITIAL INVESTMENT 1
| Type of Expenditure | Amount for Free Standing Building | Amount for Inline Space | Method of Payment | When Due | To Whom Payment Is To Be Made | |
|---|---|---|---|---|---|---|
| Initial Franchise Fee2 | $10,000 to $50,000 | $10,000 to $50,000 | Cashier’s Check | At signing of the Franchise Agreement | Gold Star | |
| Real Property & Site work Costs | (See Note 1) | (See Note 1) | As Arranged | Before Opening | Lessor or Property Owner; Other Third Parties | |
| Furniture, Fixtures and | $109,100 to | $108,368 to | As Arranged | Before Opening | Approved | |
| Equipment3 | $305,379 | $220,000 | Suppliers | |||
| Building, Construction and Leasehold Improvements4 | $287,930 to $1,207,022 | $287,618 to $400,000 | (See Note 4) | (See Note 4) | (See Note 4) | |
| Utility Deposits | $1,000 to $3,000 | $1,000 to $3,000 | As Arranged | Before Opening | Suppliers and Utilities | |
| Architectural and | $14,000 to | $12,935 to | As Arranged | Before Opening | Approved | |
| Engineering Fees | $39,792 | $25,000 | Suppliers | |||
| Initial Inventory | $8,000 to $12,000 | $8,000 to $12,000 | As Arranged | Before Opening | Gold Star, Approved Suppliers | |
| Insurance | $1,000 to $3,000 | $1,000 to $3,000 | As Arranged | Before Beginning Operations | Insurance Companies |
| Type of Expenditure | Amount for Free Standing Building | Amount for Inline Space | Method of Payment | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|---|
| Signs and Awning | $38,737 to $46,285 | $31,510 to $38,737 | As Arranged | Before Opening | Approved Contractors |
| Training5 | $5,500 to $10,000 | $5,500 to $10,000 | As Arranged | Before Opening | Employees, Miscellaneous Vendors |
| Licenses & Permits | $1,350 to $11,972 | $1,000 to $5,000 | As Arranged | Before Beginning Operations | Licensing Authorities |
| Legal & Accounting | $2,500 | $2,500 | As Arranged | Before Beginning Operations | Attorney, Accountant |
| Office Equipment and | $1,000 | $1,000 | As Arranged | Before Opening | Suppliers |
| Supplies | |||||
| Grand Opening | $10,000 | $10,000 | As Arranged | Within 3 months | Miscellaneous |
| Advertising6 | of Opening | Vendors | |||
| Additional Funds - 3 Months7 | $15,000 to $30,000 | $15,000 to $30,000 | As Arranged | As Incurred | Gold Star, Employees, Suppliers, Utilities, Insurers, Professionals, Etc. |
Source: Item 7 — Estimated Initial Investment (FDD pages 18–21)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the total estimated initial investment for a free-standing building ranges from $506,117 to $1,730,950. This investment covers various expenses, including the initial franchise fee, furniture, fixtures, equipment, building construction, leasehold improvements, utility deposits, architectural and engineering fees, initial inventory, insurance, signs and awnings, training, licenses and permits, legal and accounting costs, office equipment and supplies, grand opening advertising, and additional funds for the first three months of operation.
The initial franchise fee ranges from $10,000 to $50,000, payable upon signing the Franchise Agreement. Furniture, fixtures, and equipment costs range from $109,100 to $305,379, while building, construction, and leasehold improvements can cost between $287,930 and $1,207,022. Signs and awnings are estimated to cost between $38,737 and $46,285. The estimate also includes $5,500 to $10,000 for training, and $10,000 for grand opening advertising. An additional $15,000 to $30,000 is estimated for funds to cover the first three months of operation.
Prospective franchisees should note that real property and site work costs are not included in this estimate. These costs can vary significantly depending on location, local real estate market values, and the size and physical characteristics of the restaurant. Gold Star estimates that minimum rent for a restaurant is between $36,000 and $90,000 per year. The FDD advises that these figures are estimates, and franchisees should carefully review them with a business advisor before making any decision to purchase the franchise, as Gold Star cannot guarantee that franchisees will not have additional expenses when starting the business.