ProntoWash
Date of Incorporation: February 22, 2002
Franchising Since: 2004
Address: Florida
Description: ProntoWash operates a unique car wash and detailing service ("Point of Service") via Mobile Detailing Units ("MDUs") and Detail Centers at designated locations.
Franchise Offer: ProntoWash offers two types of franchises— Retail Mall Facility and Corporate/other franchises. ProntoWash also develops Washing units for leasing to other companies, produce private labeled Karts for sales by other entities and are developing consumer direct cleaning products. ProntoWash enters agreements with malls, corporate facilities and parking lots to operate or let others operate mobile car wash and detail centers. ProntoWash expects most available corporate or mall locations for franchise will be contracted via national or regional agreements. Franchisee uses ProntoWash system to provide car wash/detailing services delivered in a mobile setting or via stationary Detail Centers that serve as a hub for operations.
Financial Assistance: The franchisor does not offer any other direct or indirect financing. However, if requested, the franchisor can refer the franchisee to third party lenders to provide financing. The franchisor does not finance any debt to a third party; guarantee note, lease or obligation. On a case by case basis, the franchisor may permit the franchisee to pay for equipment and other products purchased from him over time (i.e. over 90 days). The accounting manager makes a determination regarding the amount and the term of the financing and monthly payment.
Training and Assistance: The initial training will take 6 days for Retail Mall and Office Building/Other locations. For a conversion location, the initial training will consist of between 1 and 2 days of classroom training and between 1 and 2 days of training at the location. The fees for additional training beyond the initial training will range from $50 to $500 a day according to unit size and complexity.
Territory: The franchisee is granted a limited exclusive territory. While in full compliance with the agreements, the franchisor will not establish or let anyone else operate a ProntoWash Point of Service in the location or defined geographic area comprising Service Zone.
Term of Agreement and Renewal: The length of the franchise agreement is five years. Renewal or extension of the term is for an additional 5 years if the franchisee meets all conditions.
Obligations and Restrictions: The franchisee need not personally supervise the franchised business. If the franchisee decides not to manage the Point of Service on a full time basis, then a designated manager should perform the day-to-day on-premises management. The Manager must devote full time to manage the Point of Service, including being physically present during the days and hours.
Total Number of Units: 51 franchised outlets at the end of the year 2007.
Investment Table:
Initial Investment:
| Name of Fee |
Low |
High |
|---|---|---|
| Initial Franchise Fee |
$25,000 |
$25,000 |
| Location Fee |
$0 |
$25,000 |
| Equipment (MDUs and accessories) |
$4,000 |
$10,000 |
| Operations Set Up | $0 |
$5,000 |
| Shipping, Handling and Transportation Costs |
$125 |
$52,500 |
| Retail Build Out |
$5,000 |
$25,000 |
| Uniforms and accessories |
$570 |
$1,070 |
| Opening Inventory |
$3,000 |
$54,500 |
| Permit and Contract Administrative Fee |
$2,500 |
$5,000 |
| Travel and Living Expenses while Training |
$1,340 |
$4,020 |
| Rent (for 3 months) including utility deposit and fees |
$0 |
$4,500 |
| Lease Brokerage/Administrative Fees |
$0 |
$1,500 |
| Grand Opening staff Support & Promotion |
$1,000 |
$9,450 |
| Licenses and Permits |
$250 |
$1,275 |
| Signage |
$2,000 |
$6,000 |
| Building improvements |
$0 |
$10,000 |
| Fixtures |
$250 |
$1,000 |
| Recruiting |
$0 |
$2,000 |
| Employee wages |
$9,600 |
$30,000 |
| Travel and Living Expense Reimbursement for Pre-Launch Consultation |
$0 |
$1,025 |
| Golf Carts (optional) |
$0 |
$3,000 |
| Optional Inventory |
$0 | $3,000 |
| Insurance |
$3,000 |
$6,000 |
| Financing Fees |
$0 |
$6,000 |
| Additional Funds – First three months |
$4,500 |
$10,500 |
| Professional Advisor |
$1,000 |
$6,000 |
| PDA based POS system Software and Hardware |
$2,000 |
$3,900 |
| Total |
$65,135 |
$312,240 |
Ongoing Fees:
| Type of Fee | Amount |
|---|---|
| Royalty | The greater 5% of Gross Sales or the following amounts per Detail Center-Hub per month: Retail Malls: First Hub $1,000 Second Hub: $500 Third+ Hubs: $250 Office Building/Other: Each Hub: $500 |
| Advertising Fee | The greater of 1/2% of Gross Sales or $150 per POS per month. |
| Advertising Cooperative Fee | $200 per POS location per month. |
| Additional Training Fee | $50 per hour per Franchisor staff member |
| PDA based POS Software monthly fee | $36 per month for primary HUB and $18 per month for each additional Hub at POS. |
| Rent | Actual rent amount |
| Transfer Fee | 50% of then current Initial Franchise Fee |
| Payments for equipment, supplies or inventory | Varies |
| Additional MDUs | $2,000 per MDU. |
| Renewal Fee | One month royalty based on average monthly royalty paid (or should have been paid) in the 12 calendar months immediately preceding the anticipated renewal date with a minimum of $1,000. |
| Management Fee | $200 per day plus our travel, lodging, personnel compensation |
| Fee for Use of Non-Approved Suppliers or Products and/or Non-Compliance with Standards | $100 |
| Cure of Breach | Actual expenses |
| Audit Fee | Costs and expense of audit plus interest. |
| Costs of Enforcement | Our actual expenses and costs. |
| Interest | 1.5% per month (18% annually) |
| Insurance | Varies |
| Indemnification | Actual costs and expenses. |
| Expenses Caused by Breach | Actual expenses multiplied by factor of 1.5 |
| Reimbursement for Rent | Actual rent paid multiplied by factor of 1.5 |
The above information has been taken from the UFOC/FDD of ProntoWash USA LLC.
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