ESTIMATED INITIAL INVESTMENT
Investing in a Little Caesars franchise is highly competitive and affordable. To qualify for consideration, prospective franchisees should have a minimum of $50,000 in liquid assets, have a minimum of $150,000 in net worth, and have the ability to obtain financing of up to $200,000.
The estimated initial investment required per franchise location ranges from approximately $197,050 to $559,500 for a standard Little Caesars carry-out location. Stores in the higher end of the range are typically free-standing buildings, not strip center locations. Of course, costs vary based on a variety of factors.
Please see Item 7 of our Franchise Disclosure Document for additional information, including our assumptions.
ITEM 7
(Franchise Agreement)
|
Type of Expenditure
|
Amount
|
Method of
Payment
|
When Due
|
To Whom Payment is to be Made
|
|
Initial Franchise Fee
|
$15,000 to
$20,000
|
Lump sum
|
When site for Restaurant is submitted for approval
|
Little Caesars
|
|
Rent
|
$1,500 to
$5,000
|
As Arranged
|
Monthly
|
Lessor
|
|
Leasehold Improvements
|
$50,000 to
$260,000
|
As Arranged
|
As Incurred
|
Suppliers
|
|
Fixtures, Equipment, and Signage
|
$80,000 to
$170,000
|
As Arranged
|
As Incurred
|
Little Caesars and Suppliers
|
|
Grand Opening Advertising
|
$10,000
|
As Arranged
|
As Incurred
|
Little Caesars and Media
|
|
Training Expenses
|
$7,000 to
$9,000
|
As Arranged
|
As Arranged
|
Third Parties
|
|
Start-up Inventory and Supplies
|
$15,000 to
$27,000
|
As Arranged
|
As Incurred
|
Little Caesars or Suppliers
|
|
Insurance
|
$500 to
$1,500
|
As Arranged
|
Monthly
|
Insurers
|
|
Utility Expenses
|
$1,000 to
$5,000
|
As Arranged
|
Monthly
|
Utilities
|
|
Licenses and Permits
|
$50 to
$5,000
|
As Arranged
|
Annually
|
Governments
|
|
Additional Funds – 3 months
|
$17,000 to
$47,000
|
As Arranged
|
Estimated needs for the first 3 months of operation
|
Various
|
|
TOTAL
|
$197,050 to
$559,500
|
|
|
|