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Total Investment Estimator

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What this tool does

Build up a franchise's full startup investment and see the cash you need up front vs financed.

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What this calculates

Builds a franchise's total startup investment line by line — franchise fee, build-out and fit-out, equipment, signage, opening inventory, training and travel, professional fees, and the working capital needed before break-even — then splits the total into the cash you must put in yourself and the portion a lender might fund.

What you will need

Each cost line, at your quotes. Build-out is the line that varies most by location and by the condition of the site you take. A range from a disclosure document is a starting point, not a budget for your unit.

Working capital before break-even. The most commonly omitted line and the one that causes the most failures. Model the months the unit runs at a loss before it turns, and fund them explicitly.

Financing split. How much you expect to borrow. Lenders rarely fund the full investment and almost never fund working capital, so the equity requirement is usually larger than people plan for.

How to read the result

Two things deserve scrutiny. First, whether a contingency exists — build-out routinely overruns, and a budget without a contingency line is a forecast that has assumed nothing goes wrong. Second, whether the equity portion is genuinely available after you keep a personal reserve. Investing every liquid asset into opening leaves nothing for the ramp-up, and the ramp-up is where the money is actually needed.

Questions about this tool

Why is my estimate above the range in the disclosure document?

Those ranges reflect the network's experience, often across cheaper markets and simpler sites. Your rent, your labour rates, your local build costs and your site's condition can put you legitimately above the range.

How much contingency should I add?

Enough that a normal overrun does not force you to raise money mid-build. The precise share matters less than that the line exists and is not spent before opening.

Will a lender fund working capital?

Usually not, or not much. Lenders prefer to fund assets they can secure against, which means the ramp-up period tends to come out of your own equity.

For reference only; not legal, tax, or investment advice. Results depend entirely on the figures you enter — check them against your own quotes and your franchise agreement before acting on them.

What this tool does

Build up a franchise's full startup investment and see the cash you need up front vs financed.

Other tools for this stage