Following is a table, which summarizes your estimated initial investment. The estimate is for costs to open and for the first three months of operation.
|
Item |
Amount |
Method of Payment |
When Due |
To Whom Payment is Made |
Refundable |
|
Initial Franchise Fee |
$46,450 |
Lump Sum and Monthly |
Upon Signing Agreement |
ProSource |
No |
|
Fixtures – Showroom and Warehouse |
$42,500 |
Set by Supplier |
Prior to Opening |
Suppliers and ProSource |
No |
|
Modular System – Furniture & Equipment |
$35,000 |
Set by Supplier |
Prior to Opening |
Suppliers, ProSource and Trades Person |
Set by Supplier |
|
Signage and Trade Dress/Graphics |
$11,000 |
Lump Sum |
Prior to Opening |
ProSource |
No |
|
Remodel Expense
|
$21,500 |
Set by Supplier |
Prior to Opening |
Suppliers and Trades Person |
Set by Supplier |
|
Floorcovering and Related Product Samples |
$32,000
|
Lump or Multiple |
Prior to Opening |
Suppliers e.g. ProSource |
No |
|
Advertising |
$25,000 |
Multiple Payments |
- |
ProSource |
No |
|
Training (Franchisee Costs) |
$2,000 |
- |
- |
- |
- |
|
Additional Funds |
$7,000 |
Set by Supplier |
Prior to Opening |
Various Suppliers and ProSource |
Set by Suppliers opening |
|
Software License Fee |
$5,999 |
Lump Sum |
Prior to Opening |
ProSource |
No |
|
ProKey System – Computer, Hardware and Installation |
$12,500 |
Lump Sum |
Prior to Opening |
ProSource and Suppliers |
No |
|
Inventory
|
$30,000 - $35,000 |
Set by Supplier |
Upon Delivery |
Suppliers |
No |
|
ProStart Set Up Service |
$5,000 |
Lump Sum |
When Completed |
ProSource |
No |
|
Royalties
|
$3,750 |
Monthly |
Monthly |
ProSource |
Monthly |
|
Wages and Withholding |
$25,000 - $30,000 |
Biweekly |
Biweekly |
Employees |
No |
|
Freight |
$9,000 - $13,000 |
Set by Supplier |
Upon Delivery |
Supplier |
No |
Total: $313,700 - $327,699
PLEASE NOTE: THIS IS NOT AN OFFER TO SELL A PROSOURCE, FLOOR TRADER OR RUG DECOR FRANCHISE. THIS IS ONLY DESIGNED TO DETERMINE IF THE APPLICANT IS QUALIFIED AS A POTENTIAL CANDIDATE TO PURCHASE A FRANCHISE. IF WE DETERMINE THAT YOU DO QUALIFY AS A CANDIDATE TO PURCHASE A FRANCHISE AND WE DECIDE TO OFFER TO SELL YOU A FRANCHISE, YOU WILL BE PRESENTED WITH A FRANCHISE DISCLOSURE DOCUMENT AND GIVEN AN OPPORTUNITY TO REVIEW SUCH DISCLOSURE DOCUMENT AND ASK ANY QUESTIONS THAT YOU MAY HAVE.