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Kitchen Solvers Franchise Costs & Fees

Date of Incorporation: 1982
Franchising Since: 1984
Headquarters: La Crosse, Wisconsin

Business Description: KS La Crosse Investments, LLC is the franchisor. The business features kitchen and bathroom update, beautification and remodeling services for residential and commercial buildings.

Franchise Offer: The franchise offered is for the operation of a Kitchen Solvers business within a particular geographic territory.

Financial Assistance: If franchisees meet its credit standards, the franchisor may finance the Initial Franchise Fee over a period of 24 months based upon certain terms and agreements. The franchisor does not offer any indirect financing to its franchisees. The franchisor is unable to estimate whether franchisees will be able to obtain financing for any or all of their investment and, if so, the terms of such financing. The franchisor does not guarantee franchisees’ loans, lease, or other obligations.

Training and Assistance: Franchisees must complete the Pre-Opening Training Program to the franchisor’s satisfaction before they begin to operate the Business. The Pre-Opening Training Program is held at the franchisor’s headquarters in La Crosse, Wisconsin as well as via telephone and internet. The Pre-Opening Training Program generally lasts about two months. The franchisor will sponsor at least one convention/seminar per year in La Crosse, Wisconsin (or other location that it designates) for all of its franchisees.

Territory: The franchisor grants franchisees the right to operate a Kitchen Solvers Business within a particular Territory. The method used to describe territorial boundaries of franchises will be one or a combination of the following: county lines, highways or streets, or zip codes. The Territory will include a minimum of 40,000 owner occupied households. During the term of the Franchise Agreement, the franchisor will not establish either a company owned Kitchen Solvers business or another Kitchen Solvers franchise within the Territory or modify the Territory without written permission, provided that franchisees are in complete compliance with the terms and conditions of the Franchise Agreement.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If franchisees satisfy renewal requirements, they may renew for continuing 10-year renewal terms.

Obligations and Restrictions: If franchisees are an individual, they must directly supervise and manage the Business in the Territory. If franchisees are a corporation, partnership or other business entity, they must designate in writing to the franchisor an individual who will directly supervise and manage the operation of the Business in the Territory. In either instance, the individual who will directly supervise and manage the operation of the Business in the Territory must complete the training program. Franchisees must offer and sell only those products and services that the franchisor has approved.

Estimated Number of Units: 65

Investment Tables:
Initial Investment
Name of Fee Low High
Initial Franchise Fee $35,000 $35,000
Pre-Opening Training (for travel and living expenses during training) $1,000 $2,500
Supplies Package $5,100 $5,100
Pre-Opening Advertising $5,000 $5,000
Local Marketing $2,500 $7,500
Rent/Leasehold Improvements $0 $3,000
Office Equipment $0 $2,000
Vehicle $0 $3,500
Insurance Premiums $500 $2,500
Computer System $700 $1,500
Utility Deposits and Business Licenses $100 $750
Attorney’s Fees $500 $1,000
Installation Tools $0 $4,635
Technology Fee (3 month period) $915 $915
Additional Display Items $0 $4,000
Additional Funds (3 months) $30,000 $50,000
ESTIMATED TOTAL $81,300 $128,885
Other Fees
Type of Fee Amount
Continuing License Fee Calculated based upon the Primary Products and Services and Non-Primary Products and Services sold from the Kitchen Solvers business.
Local Marketing $30,000 each calendar year.
Technology Fee $305 per month.
Business Development Fee 1% of Gross Sales.
Transfer Fee $5,000
Pre-Opening Training Pre-Opening training for up to 2 people (the franchisee and approved manager) is included in the Initial Franchise Fee. While the franchisor currently does not do so, it may charge a fee for any additional people who attend Pre-Opening Training (currently $150 per person).
Audit Will vary under circumstances (generally $500 to $2,000)
Interest Expenses; Late Fee Interest at the highest legal rate, but not to exceed 18% per annum. $25 late fee.
Design Fee $40 per hour.
Insurance Estimated at $1,250 - $3,500, annual premium which will vary under the circumstances.
On-site Training Fee $350 per day plus expenses.

The above information has been taken from the FDD of Kitchen Solvers. Year of FDD: 2016

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