Detailed Estimates of National Property Inspections Franchise Costs Based on Item 7 (Estimated Initial Investment) of National Property Inspections’ 2019 Franchise Disclosure Document
- Any fees paid to National Property Inspections are not refundable; fees paid to any third parties may be refundable, depending upon the contracts, if any, between such third parties and you.
- You are required to pay all taxes associated with the franchised business in a timely fashion.
- Since it will be possible for you to operate directly out of your home, there is no estimate made for real estate expenses, nor is there any estimate made of motor vehicle expense since it is anticipated that there will be no special need for a motor vehicle different from your own private vehicle.
1. Initial Franchise Fee: $34,900
- The Initial Franchise Fee includes the Franchise Package.
2. Travel/Living Expenses for Training: $600 to $875
- National Property Inspections offers a third week of up to 5 days of in-the-field training with a limited allowance per franchise of up to $150/day for travel and living expenses, not to exceed 5 days, $750 total allowance. To be completed within 60 days of the classroom training in Omaha.
- During initial franchisee classroom training, National Property Inspections will pay for shared ground transportation (to begin on the 1st day of training), lunch meals, and hotel accommodations for the franchisee.
3. Association/Organization Membership: $400 to $600
- You are required to join your local Board of Realtors as an affiliate member. Local Associations/Organizations require annual dues.
4. Vehicle Signage: $500 to $1,500+
- You are required to provide advertising for your vehicle. The cost can vary depending on how extensive the graphics are.
5. Advertising/Promotions: $400 to $600
6. Initial Insurance Premiums: $625+
7. Legal and Accounting: $500 to $700
- Franchisee is responsible for obtaining legal advice from an attorney of their choosing pertaining to all things relating to the laws regulating home inspection and franchise operation.
- Franchisee is also responsible for obtaining accounting advice from a qualified accountant of their choosing pertaining to all finances regarding the home inspection business such as bookkeeping and tax procedures.
8. Licenses: $200 to $400+ (depending on state)
- Any fees for licensing or permits.
9. Apparel: $200 to $300
10. Tools and Equipment: $500
- You must purchase your own ladder. Initial tools to start your inspection business as described in Exhibit D (Franchise Package – Basic Tools/Equipment) are included in the price of the franchise.
- A portable computer, portable printer, and digital camera along with National Property Inspections’ customized Proprietary Inspection Software are included in the price of the franchise.
11. Additional Funds: $2,000
- Additional Funds are costs you may incur prior to or during the opening of your franchise for business and during the initial 60-day period of operation.
- National Property Inspections recommends that you provide for the possibility that expenses may exceed revenues and maintain sufficient cash reserved to carry you through the development phase of your business.
- There may be pre-opening payroll costs, but there are no other fees to be paid by you to National Property Inspections to commence operation.
12. Totals: $40,700 to $43,000 (includes franchise fee)