What deposit amount is used in the vehicle financing example for a Pearce Bespoke franchise?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
ower their initial vehicle investment requirement. You can choose the type of vehicle to purchase or lease, but we have used a Toyota Corolla price reference for purposes of this section. The total estimated cost to purchase the vehicle ranges between $21,000 - $30,000. Should you choose to finance your vehicle, our estimates are based on a 20% deposit on the final purchase invoice with the remainder financed over a 60-month term at an interest rate of 3%. The high side of our estimate is based upon three months of payments. Your deposit, term, and interest may vary. Additionally, the vehicle must be box wrapped with Pearce Bespoke app
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 15–19)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, if a franchisee chooses to finance a vehicle, the example assumes a 20% deposit on the final purchase invoice. The remaining balance would be financed over a 60-month term at an interest rate of 3%. Pearce Bespoke uses a Toyota Corolla as a price reference, estimating the total cost to purchase between $21,000 and $30,000.
This financing example is just an estimate, and the actual deposit amount, term length, and interest rate may vary depending on the franchisee's creditworthiness and the lending institution's policies. The FDD notes that franchisees are not required to purchase or lease a vehicle to operate their Pearce Bespoke business, provided their vehicle is in good working condition and no more than five years old. The low-end estimate for the vehicle lease assumes the franchisee already has a suitable vehicle.
It's important to note that the vehicle must be box wrapped with Pearce Bespoke approved marks and logos, as described in the manuals. This cost is separate from the deposit and financing terms. Prospective franchisees should carefully consider their vehicle options and financing terms, as these can significantly impact their initial investment and ongoing expenses.