When are the additional funds for the first 3 months of operating a Zoomin Groomin franchise due?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Estimated Amount (Low) | Estimated Amount (High) | Method of Payment | When Due | To Whom Payment is to be Made | |
|---|---|---|---|---|---|---|
| Additional Funds-3 Months (Note 11) | $5,000 | $10,000 | As Arranged | As Necessary | Us, Employees, Utilities, Lessor & Suppliers |
Note 11: Additional Funds - 3 Months. The estimate of additional funds for the initial phase of your Franchised Business is based on your staff wages, salaries and benefits, and operating expenses for the first three months of operation. The estimate of additional funds does not include an owner's salary or draw and it is expected that you will manage and promote the Franchised Business. Pet groomers (your "staff") are typically paid a percentage of each groom (a "commission") plus tips, and we do not recommend that you hire any staff while your Vehicle is not in operation. Your costs will depend on factors such as how closely you follow our recommended systems, as well as on your technical, marketing and general business skills, local economic conditions, the local market for your business, competition, local cost factors, location and the sales levels achieved by you. We base this estimate upon the years of experience our management team has in the industry.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 20–27)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the additional funds for the first three months of operation are due "As Necessary." These funds, estimated between $5,000 and $10,000, cover staff wages, salaries, benefits, and other operating expenses during the initial phase of the franchise.
The FDD specifies that these additional funds do not include an owner's salary or draw, as it is expected that the franchisee will manage and promote the business. The actual costs will vary depending on factors such as adherence to Zoomin Groomin's recommended systems, the franchisee's skills, local economic conditions, market competition, and achieved sales levels.
Payments for these additional funds are made to various entities, including Zoomin Groomin itself, employees, utilities, lessors, and suppliers. This broad range indicates the diverse operational costs a new franchisee should anticipate during their first three months. Prospective franchisees should carefully consider these variable factors and develop a detailed budget to ensure they have sufficient capital to cover these initial operating expenses.