What is the estimated range for operating supplies and equipment for The Standardx?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount | Method of Payment | When due | To whom payment is to be made |
|---|---|---|---|---|
| Operating supplies & | $625,000 to | As agreed | As incurred | Suppliers |
| equipment (4) | $2,700,000 |
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- Operating Supplies and Equipment. Costs for initial operating supplies and equipment, including initial food and beverage inventory, bed linens, personal care amenities, cleaning supplies, and other consumables and similar items we periodically specify for the Hotel
(collectively, "OS&E") depend mostly on the Hotel's size and location. This item does not include the FF&E for the Hotel that we describe in Note 3 above or the costs for telecommunications systems, security system and Technology System equipment and related fees that we describe in Note 2 above.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 36–40)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, the estimated initial investment for operating supplies and equipment ranges from $625,000 to $2,700,000. These costs are paid as agreed upon, as incurred, to suppliers. These operating supplies and equipment, also referred to as OS&E, include initial food and beverage inventory, bed linens, personal care amenities, cleaning supplies, and other consumables that The Standardx periodically specifies for the hotel.
This substantial investment is primarily dependent on the size and location of The Standardx hotel. It's important to note that this estimate does not include furniture, fixtures, other fixed assets, and equipment (FF&E), nor does it cover telecommunications, security, or technology system equipment and related fees, which are listed separately in the FDD.
Prospective franchisees should carefully consider this significant investment when evaluating the overall financial requirements for starting a The Standardx franchise. Understanding the specific needs and scale of their planned hotel operation is crucial for accurately budgeting these initial operating supplies and equipment costs. Franchisees should also clarify with The Standardx what specific items are included under OS&E to avoid any potential overlap or confusion with other categories like FF&E.