This post was updated on August 31, 2015 to reflect information from The Traveling Photo Booth’s 2015 FDD (Item 7).
Detailed Estimates of The Traveling Photo Booth Franchise Costs Based on Item 7 (Estimated Initial Investment) of The Traveling Photo Booth’s 2015 Franchise Disclosure Document
- The estimated range of costs is for a Photo Entertainment Business operated from a home office. In estimating the range of costs, The Traveling Photo Booth relied on its experience in franchising Photo Entertainment Businesses and on the experience of its affiliated companies.
- Payments are not refundable unless otherwise noted. Except for a portion of the Initial Fee, The Traveling Photo Booth does not offer direct or indirect financing, but it does require that you lease the Photo Entertainment Machines from it.
1. Initial Fee: $24,400
- The Initial Fee is $24,400 payable in a single $16,000 payment, plus $8,400 payable in monthly installments over a five-year period. The Initial Fee includes the lease payment for one Photo Booth and one Photo Stand that you are required to lease from The Traveling Photo Booth.
- For each additional Photo Booth that you subsequently lease from The Traveling Photo Booth and put into operation in your Protected Area, you will pay The Traveling Photo Booth the sum of $9,000. For each additional Photo Stand that you subsequently lease from The Traveling Photo Booth and put into operation in your Protected Area, you will pay The Traveling Photo Booth the sum of $5,400.
- If you meet the requirements established by The Traveling Photo Booth, you may purchase the rights to an additional Protected Area for a single payment of $5,000 plus $9,000 for each Photo Booth and $5,400 for each Photo Stand that you are required to lease.
- The range of the Initial Fee assumes that your Protected Area will initially require one Photo Booth and one Photo Stand.
2. Printer for Photo Booth: $1,000
- Each Photo Booth that you put into operation requires that you purchase a printer from The Traveling Photo Booth’s designated supplier.
3. Printer for Photo Stand: $1,000
- Each Photo Stand that you put into operation requires that you purchase a photo printer, a label printer, supplies used to hang backgrounds, and backgrounds from The Traveling Photo Booth’s designated supplier.
4. Label Printer for Photo Stand: $100
5. Supplies Used to Hang Photo Stand Background: $300
6. Photo Stand Backgrounds: $1,000
- Each background is $200. You must have a total of 5 backgrounds.
7. Wages, Travel, and Living Expenses for You and Your General Manager During Training: $1,000 to $3,500
- You must pay for the salaries, benefits, travel expenses, and other expenses while you, your General Manager, and your Operating Owner attend the training program.
8. Furniture, Fixtures, Equipment: $3,650 to $5,000
- Your furniture, fixtures, and equipment may be financed through a bank or other financial institution, leased, or purchased outright.
- You must provide a vehicle or trailer suitable to transport the Photo Entertainment Machines, but there is no requirement that you purchase a special purpose or designated vehicle or trailer for this purpose. If you choose to purchase a vehicle or trailer, your costs may be greater than the estimates stated here.
- Your equipment purchases must include approved items, such as props and guestbooks, for use at Photo Entertainment Events. You must purchase these items from The Traveling Photo Booth or from any approved supplier.
- This estimate does not include the lease of your first Photo Booth and Photo Stand, which is accounted for in the Initial Fee category.
- Your costs may be higher if you choose to purchase an annual maintenance contract for your computer or communications equipment.
9. Office Computer Equipment: $1,000 to $3,000
10. Technology Back-up Kit: $2,700 to $3,500
- You must purchase certain back-up equipment from The Traveling Photo Booth, including a small-form computer, printer, camera flash, camera, touch screen, and various connection cords.
- You will reimburse The Traveling Photo Booth for the cost of the small-form computer, which is estimated to be between $600 and $800. This amount must be paid in a non-refundable lump sum and must be paid before you receive the computer.
- You will purchase the remaining materials from designated suppliers for between $2,100 and $2,700.
11. Shipping Costs for The Traveling Photo Booth Photo Entertainment Machines: $300 to $900
- You are responsible for all shipping and delivery costs associated with obtaining the Photo Entertainment Machines for use with your Photo Entertainment Business. These costs are typically from $200 to $800 per Photo Entertainment Machine, depending on the location of your Photo Entertainment Business. Shipping costs may be higher outside of the Continental U.S.
12. Opening Inventory: $1,200 to $3,000
13. Employee Salaries – 3 Months: $1,500 to $5,000
- This estimate includes the salaries for you and your required employees assuming that you operate one Photo Booth in your Protected Area. It does not include your or your employees’ salaries during training.
14. Insurance – 3 Months: $1,000 to $1,800
15. Miscellaneous Fees: $1,000 to $3,000
- Miscellaneous fees include such items as security, utility and license deposits, and professional services such as attorneys and accountants.
16. Additional Funds – 3 Months (these figures have not been offset by operating revenues): $4,000 to $6,550
- During the first three months of operations, you will need additional funds to cover your expenditures for payments on the Promissory Note, supplies, gasoline, local advertising, utilities, and other miscellaneous operating costs. This estimate has not been offset by any allowance for your operating revenues during this three-month period.
17. Total (not including office rent): $44,350 to $62,250
- These figures are estimates only, and it is possible that you may have additional or greater expenses during this period.