For a Goldfish Swim School, what is the definition of the 'Initial Construction Cost Detail'?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
5.4.12 within fifteen (15) days following the opening of the Franchised Swim School, Franchisee shall provide Franchisor with final costs for construction of the Franchised Swim School, which shall be provided in a detailed format and form as required by Franchisor (the "Initial Construction Cost Detail"). Franchisee shall, within ninety (90) days following opening of Franchised Swim School, provide Franchisor any changes to the Initial Construction Cost Detail with final actual construction costs (the "Final Construction Cost Detail") and provide to Franchisor a final contract list of all vendors used in construction of the Franchised Swim School, a reconciled schedule of estimated timelines to final timelines, and a performance review of all such vendors on forms designated by Franchisor. Franchisee acknowledges that the Final Construction Cost Detail may be used by Franchisor in an aggregated format with other franchisees to estimate a franchisee's estimated initial investment.
Source: Item 23 — RECEIPTS (FDD pages 77–389)
What This Means (2025 FDD)
According to the 2025 Goldfish Swim School FDD, the Initial Construction Cost Detail is a detailed format and form, as required by the Franchisor, that the franchisee must provide to the Franchisor within fifteen days following the opening of the Franchised Swim School. The Initial Construction Cost Detail includes the final costs for construction of the Franchised Swim School.
Within ninety days following the opening, the franchisee must also provide any changes to the Initial Construction Cost Detail with final actual construction costs, which is called the "Final Construction Cost Detail". Additionally, the franchisee must provide a final contract list of all vendors used in construction, a reconciled schedule of estimated timelines to final timelines, and a performance review of all such vendors on forms designated by Goldfish Swim School.
Goldfish Swim School may use the Final Construction Cost Detail in an aggregated format with other franchisees to estimate a franchisee's estimated initial investment. This means that the franchisor compiles the construction costs from various franchisees to create an average or range of costs that new franchisees can expect. This aggregated data helps in setting realistic expectations for potential franchisees regarding their initial investment.