Detailed Estimates of Cinch I.T. Franchise Costs Based on Item 7 (Estimated Initial Investment) of Cinch I.T.’s 2020 Franchise Disclosure Document
- Cinch I.T. does not offer direct or indirect financing to franchisees for any item.
1. Initial Franchise Fee: $15,000
2. Initial Training Fee: $30,000
3. Travel and Living Expenses While Training: $1,250 to $1,800
- You are responsible for the travel and living expenses, wages, and other expenses incurred by you during Initial Training. The actual cost will depend on your point of origin, method of travel, class of accommodations, and dining choices.
- The Initial Training Fee as well as travel and living expenses will increase should you request, and be granted, permission for additional trainees to attend Initial Training.
4. Marketing Starter Package: $4,000
5. Rent: varies
- Cinch I.T. does not estimate any real estate costs. They vary dramatically based on numerous factors. Cinch I.T. presumes you will operate the business office of your CINCH I.T. Franchised Business from your home.
6. Computer System/End User Software, Printer, Tools, Inventory, and SmartPhone: $2,500 to $5,000
7. Office Supplies and Miscellaneous Expense: $100 to $550
8. Advertising/Promotion/Grand Opening Materials: $4,000
9. Insurance (3 months): $675 to $1,000
- Estimated cost of down payment required to activate policy coverage plus 2 months of payments. The actual cost may be more than shown here.
- You will need to check with your insurance carrier for actual premium quotes and costs, and for the actual amount of deposit.
- Insurance costs can vary widely, based on the area in which your business is located, your experience with the insurance carrier, the loss experience of the carrier, the amount of deductibles and coverage, and other factors beyond Cinch I.T.’s control.
- You should also check with your insurance professional regarding any additional insurance that you may wish to carry above Cinch I.T.’s required minimums before signing any binding documents or making any investments or other commitments, whether to Cinch I.T. or anyone else.
10. Professional Fees: $2,500 to $3,500
- The estimate is for legal, accounting, and miscellaneous other professional fees that you may incur before you open for business, including (among other things) to assist you in reviewing the Franchise Agreement.
- Your actual costs may vary, for example, depending on the degree to which you rely upon your advisors, type of financing, if any, and the permitting process in your city. The hourly rate for advisors, accountants, and legal professionals will also vary.
11. Additional Funds (3 months): $40,000 to $60,000
- This is an estimate of the amount of opening cash and other miscellaneous expenses over and above those included in the table in this Item that may be incurred during the initial period of the Franchised Business’ operations.
- These expenses include normal operating costs for travel, sales expenses, office overhead, and supplies to get your Cinch I.T. Franchised Business ready to open for business, and extra labor expense you will incur while training your staff both before and after opening.
- This estimate for Additional Funds does not include your salary, draw, or your personal expenses.
- This estimate is based on Cinch I.T.’s affiliate’s 6 years of experience and on Cinch I.T.’s management’s 15 years of experience.
- The typical start-up period during which costs can be expected to run higher than normal is 3 months. Although Cinch I.T. has tried to be as accurate as possible in its estimate of your initial investment, you should review these figures carefully with a skilled business advisor before you decide to purchase the franchise.
- Cinch I.T. cannot guarantee that you will not have additional expenses in starting your business. Your actual costs will depend on factors which include how much you follow Cinch I.T.’s recommended methods and procedures; your overall sales, management, and business skills; local economic conditions; competition; the prevailing local wage rate; and the amount and effectiveness of your advertising and promotion.
12. Total: $100,025 to $124,850
- All payments to Cinch I.T. are non-refundable. Any refund of payments made to various vendors will depend on the terms you arrange with those vendors.