What is the low-end estimated initial investment for a Multi-Unit Development Agreement for Southern Steer?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
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- (15) Total. We relied on the experience of Our affiliate and their principals in opening and developing company-owned Southern Steer Businesses to compile these estimates.
YOUR ESTIMATED INITIAL INVESTMENT MULTI-UNIT DEVELOPMENT AGREEMENT
| Type of Expenditure | Amount–Low - High | Method of Payment | When Due | To Whom Payment Is To | |
|---|---|---|---|---|---|
| Be Made | |||||
| Development Fee for Two | $91,500 | $91,500 | Lump Sum | When You | Us |
| Additional Southern Steer | sign the | ||||
| Businesses(1) | MUDA | ||||
| Initial Investment for First | $428,706 | $722,706 | As indicated | As indicated | As indicated in |
| Southern Steer Business(2) | in Item 7 chart above | in Item 7 chart above | Item 7 chart above | ||
| Initial Investment for the Second | $369,206 | $663,206 | As indicated | As indicated | As indicated in |
| Southern Steer Business Less | in Item 7 | in Item 7 | Item 7 chart above | ||
| Development Fe |
Source: Item 7 — ITEM. 7 ESTIMATED INITIAL INVESTMENT (FDD pages 17–21)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the low-end estimated initial investment for a Multi-Unit Development Agreement (MUDA) is $1,258,618. This total encompasses several components, including a $91,500 development fee for two additional Southern Steer businesses, $428,706 for the initial investment of the first Southern Steer business, and $369,206 for the initial investment of the second Southern Steer business less the development fee. It's important to note that the MUDA requires the purchase of a minimum of three Southern Steer Business franchises.
The initial investment for each additional Southern Steer Business under the MUDA does not include an Initial Franchise Fee or Development Fee. However, the cost of training for each additional Southern Steer Business opened may be reduced based on the operating performance of other Southern Steer Businesses. The total includes the Development Fee paid when entering into the MUDA, as well as the Initial Franchise Fee and estimated range of fees incurred to open and operate the first Southern Steer Business and each additional Southern Steer Business.
Prospective franchisees should be aware that all expenditures paid to Southern Steer or its affiliates are nonrefundable under any circumstances once paid. The estimates provided are based on a new Southern Steer Business with a footprint of approximately 1,800 to 2,300 square feet, and costs may be higher if operating from larger premises. Southern Steer does not offer financing directly or indirectly for any part of the initial investment, and the availability and terms of financing depend on various factors, including creditworthiness and lending policies of financial institutions.