Pet Supplies Plus brunswick ga

Date of Incorporation: 1987
Franchising Since: 1991
Headquarters: Livonia, Michigan

Business Description: PSP Franchising, LLC is the franchisor. Pet Supplies Plus Stores offer a wide variety of pet food, pet supplies, pets (including small animals, birds, reptiles and fish, but not dogs or cats), pet grooming and bathing services, and related products and services in a clean, bright, retail environment.

Franchise Offer: The franchise offered is for the establishment and operation of retail stores offering pet food, pet supplies, pets, pet grooming and bathing services, and related products and services under the Pet Supplies Plus mark and system.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor will not guarantee a franchisee’s note, lease or other obligation.

Training and Assistance: Between 2 and 3 trainees must attend (at the same time) and complete the franchisor’s initial, tuition-free training program, which will be held at the franchisor’s corporate headquarters or any other location it may designate. Training lasts at least 80 hours, which may not be consecutive. To assist franchisees in operating their store, the franchisor may offer additional management and employee training programs, which it estimates will cost $1, 000 to $1, 500 a year. The franchisor may require franchisees’ attendance at these programs and/or courses.

Territory: The size of the territory will depend on the number of people and the retail environment where the territory exists. While there is no minimum size for a territory, a territory generally consists of at least 60, 000 people in urban/suburban areas and 30, 000 people in rural markets, and will be defined as either a radius around the approved location or via street boundaries.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years from the date the Franchise Agreement is signed. If requirements are met, the franchisee can renew for 2 successive 5-year periods.

Obligations and Restrictions: Franchisees must devote their personal full-time attention and best efforts to the management and operation of the store, or they may delegate the day-to-day operation of their store to a manager. The Store must, at all times, be staffed with at least one individual who has successfully completed the franchisor’s initial training program. Franchisees must offer and sell all of the products which the franchisor requires, and only the products which the franchisor authorizes for the system, in the manner it prescribes.

Estimated Number of Units: 390

Investment Tables: Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$49, 900
Inventory	$140, 000	$225, 000
Equipment	$195, 000	$250, 000
Training	$5, 000	$10, 000
Advertising Grand Opening	$35, 000
Insurance	$3, 000	$6, 000
Leasehold Improvements	$0	$550, 000
Prepaid Rent/Security Deposits	$18, 000
Legal and Accounting	$7, 500
Pre-Opening Labor	$8, 500
Architect/Engineering	$14, 000	$26, 000
Additional Funds - Initial Period (6 months)	$100, 000	$125, 000
Estimated Total	$555, 400	$1, 312, 400

Other Fees

Type of Fee	Amount
Royalty	2% of monthly Gross Sales for first 12 months of operation; 3% of monthly Gross sales after first 12 months of operation.
Technology Fee	Estimated to be $800 - $1, 200 per month, based on store build-out
Point of Sale (POS) Leasing Payments	Estimated at $300 - $800 per month (based on capital costs of $15, 000 - $35, 000)
Currently $3, 000 per month, $1, 000 of which goes to the National Advertising Fund.
Late Fee and Insufficient Funds	The lesser of 1.5% per month or the highest permissible interest rate.
Audit Fee and Surcharge	25% of the royalty on unreported Gross Sales plus the royalty and other required fees due, and applicable late fees.
Renewal Fee	$2, 500
Transfer Fee
Additional Training Fee	$300 per day.
Cost of insurance; if franchisees fail to maintain insurance as required, the franchisor has the right to procure insurance on the franchisee’s behalf and charge an 18% administrative fee in addition to the cost of the insurance
Supplier Network Re-Entry Fee	$500
Indemnification	Amount of claim or judgment.
Post-Termination and Post-Expiration Expenses	Costs and expenses associated with ceasing operations and de-identifying the franchisee from the Store and the System.