Estimated Initial Investment*
The estimates below show the low to high range for the Estimated Initial Investment. This amount is based on the franchise fee, building improvements, furniture, fixtures, equipment, signage, inventory, travel, rent deposits, insurance, some working capital and other costs.
|
Low |
High |
| Total |
$219,180 |
$475,410 |
| Initial Franchise Fee** |
$30,000 |
$30,000 |
| Business Premises Rent & Rent Deposit |
$6,000 |
$24,000 |
| Tenant Improvements*** |
$65,000 |
$200,000 |
| Architect, Electrical & Permit Fees |
$500 |
$10,000 |
| Furniture, Fixtures, and Equipment |
$65,000 |
$84,000 |
| Computers, Communications, and Digital Marketing Systems**** |
$6,500 |
$7,100 |
| Exterior Signage |
$8,500 |
$17,000 |
| Sales Tax, Shipping and Handling***** |
$2,000 |
$16,000 |
| Initial Inventory and Supplies |
$12,000 |
$18,000 |
| Grand Opening Marketing and Advertising |
$1,500 |
$3,500 |
| Accounting Set Up Fee |
$0 |
$500 |
| Credit Card and Gift Card Processor |
$700 |
$700 |
| Insurance |
$230 |
$710 |
| Organizational Expenses |
$250 |
$1,500 |
| Incidental Costs Incurred During Training |
$1,000 |
$2,400 |
| Additional Funds (For the First 3 Months) |
$20,000 |
$60,000 |
NOTES:
1. Except as noted, or as otherwise negotiated with third-party suppliers, these expenditures are non-refundable.
2. The initial franchise fee payable to us is described in Item 5.
3. Figures for leasehold improvements assume that the landlord of a leased space has provided certain basic amenities, such as level, smooth, finished concrete floor; taped and finished walls; heating, venting and air conditioning (1 ton per 350 square feet); 200 Amp, 3 phase, 120/240 electrical service; standard storefront with double doors; restroom in compliance with Americans with Disabilities Act (quantity based on local requirements); drop ceiling; and plumbing. The estimated costs assume a 1,200 to 2,000 square foot space with basic amenities only. Rental amounts vary substantially between markets, so research prevailing rates in your local market.
4. The estimated cost ranges provided above for leasehold improvements, and architectural, electrical and permit fees do not include any reductions for contribution money from the landlord which potentially may be contributed by the landlord toward the tenant’s costs for the build out of the space. Your estimated costs may be lower if landlord contribution money is negotiated in your lease. For the 2025 calendar year, some franchisees provided information to us showing that negotiated landlord contributions toward franchisee costs of leasehold improvements, and architectural, electrical and permit fees ranged from $0 to $133,623.
5. Your communications system must include all of our communication services such as email and email marketing, studio website, in-studio music, digital marketing solutions, and social media managers.
6. Many, but not all, states impose sales tax on certain items purchased in-state and an equivalent amount of use tax on items purchased out-of-state. We have estimated tax ranging from 6 – 10% on purchase of personal property. Check with your state and local tax authorities.
7. Amounts include travel and lodging for one person attending our initial training program. Additional funds may be needed to cover operating expenses, such as payroll, marketing expenses, utilities, and debt service (if applicable) to the extent they are not covered by cash flow from operations during the initial period of operations that we estimate to be up to 4 months. We relied on our experience in operating company studios, and information about average operating expenses provided by franchisees in formulating our estimate for additional funds.
