Batteries Plus Franchise Costs, Fees & FDD

Year Business Began: 1988

Franchising Since: 1992

Headquarters: Hartland, Wisconsin

Estimated Number of Units: 740

Franchise Description: Batteries Plus, L.L.C. is the franchisor. The franchisor offers individual and multiple unit franchises for the operation of Batteries Plus stores selling batteries, light bulbs, and related items, and offering device repair and related services, to commercial accounts and retail customers.
Training Overview: The initial training program, the initial startup and commercial sales effectiveness training programs, are conducted primarily at the franchisor’s corporate training center in Pewaukee, Wisconsin and online. Franchisees must attend the one week on-site commercial training in Pewaukee, Wisconsin, within three months of signing the Franchise Agreement. Once completed, franchisees must open their store for commercial sales. Within one month of opening for commercial sales, franchisees must also complete their online training modules. Once a site is secured, franchisees will attend the one week on-site retail training program offered in Pewaukee, Wisconsin. Once the one week retail training is complete, franchisees will spend an additional week of training in a designated store. Franchisees also must complete additional virtual training covering human resources, selling, operations, and finance. Franchisees may not open their store unless each proposed store manager who will oversee day-to-day operations and management of the store successfully completes the initial start-up training program, including all online courses. Before opening a store, franchisees and a proposed employee must successfully complete the Device Repair Training Program that takes place over three days. The franchisor may require, or franchisees may request, that they (or the principal owner of a franchisee that is an entity), any store manager, any assistant store manager, device repair technician or other key individuals attend supplemental and refresher training programs.

Territory Granted: Franchisees will receive a “protected area” representing an area equal to the lesser of a three-mile radius or 150,000 people surrounding the location of the store when the franchisor and franchisee sign the Franchise Agreement. During the term of the Franchise Agreement, if franchisees are complying with the provisions of the Franchise Agreement, the franchisor will not establish any other franchised or company-owned full-service Batteries Plus store in the protected area.

Obligations and Restrictions: The store must at all times be under the franchisee’s direct supervision (or, if the franchisee is a partnership, corporation or limited liability company, a principal owner or an operating manager who the franchisor approved and who has satisfactorily completed the training program(s) that it designates). If an operating manager supervises the store, franchisees (or the principal owner) must remain active in overseeing store operations, or they must complete a designated portion of the initial start-up training program in Pewaukee, Wisconsin (or another location the franchisor designates) and they must have at least two store managers on-staff at all times who have completed the training program(s) the franchisor designates. Franchisees must offer and sell in their store all, and only, those batteries, light bulbs and related products, equipment and services that the franchisor has approved. Franchisees must at all times maintain an inventory of approved batteries, light bulbs and related products and equipment in such quantities and variety that the franchisor directs. Franchisees must participate in the franchisor’s market research programs, test market new products and services in the store and provide the franchisor with timely reports and other relevant information regarding market research.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If franchisees are in good standing, they can renew the Franchise Agreement for one additional 10-year term.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation. The franchisor currently offer a $10,000 discount off the initial franchise fee for the first store to qualifying veterans who were honorably discharged, active and retired firefighters, police officers, EMT/paramedics, nurses, and teachers. Batteries Plus franchisees may be eligible for expedited Small Business Administration (SBA) loan processing through the SBA’s Franchise Registry Program.

Estimated Initial Investment

Name of Fee	Low	High
Prior to Site Build Out
Initial Franchise Fee	$15,000	$44,500
Travel and Living Expenses during Training	$500	$2,900
New Store Commercial Support -- 3 months	$0	$3,450
Retail Management System	$38,986	$38,986
Omni-Channel Access Fee	$10,000	$10,000
Miscellaneous Pre-Opening Expenses	$1,800	$5,000
Insurance Premiums (3 months)	$1,200	$5,000
Delivery Vehicle	$1,000	$18,500
Additional Funds – 3 months	$11,000	$17,000
During and After Site Build Out
New Store Opening Hardware Kit	$7,000	$10,000
New Store Marketing Campaign Contribution	$5,000	$6,000
Minimum Store Promotion Requirement	$20,000	$20,000
Rent – Security Deposit and 3 Months’ Rent	$8,000	$19,000
Leasehold Improvements	$0	$116,000
Equipment and Fixtures	$33,000	$39,000
Signage	$7,500	$16,000
Inventory	$57,500	$74,000
Miscellaneous Supplies	$4,300	$5,800
Additional Funds – 3 months	$40,000	$45,000
ESTIMATED TOTAL	$262,646	$496,996

 
Other Fees

Type of Fee	Amount
Royalty and Service Fee	5% of total net revenues on all products and services.
Income and Sales Taxes	The franchisor may collect from franchisees the cost of all taxes arising from the franchisor’s licensing of intellectual property to franchisor in the state where the store is located, as well as any assessment on fees and any other income the franchisor receives from franchisees.
National Marketing and Promotional Fee	1% of total net revenues.
Digital Marketing Program Contribution	Up to the greater of 3% of net revenue or the “minimum store promotion requirement.”
Advertising/Marketing Cooperative(s)	Amount determined by the franchisor or by local cooperative (with the franchisor’s approval) but cannot exceed the greater of 3% of net revenues or the “minimum store promotion requirement,” and when combined with digital marketing program contributions it cannot exceed 4% of net revenues.
Minimum Store Marketing Obligation	Franchisees must spend amounts each calendar year on “approved” store advertising and promotional activities in the franchisee’s market to the extent their combined contributions respecting the digital marketing program and advertising cooperative are less than the “minimum store promotion requirement.”
Store Relocation Marketing Campaign	Upon store relocation, franchisees must pay a non-refundable store relocation marketing campaign contribution of up to $6,000.
Store Relocation Fee	$5,500
Franchise Agreement Extension Fee	Payable when franchisees request an extension of time in which to open the store. Waived for the first three months; $2,500 per month for up to 4 additional months.
Transfer Fee	50% of then-current standard initial franchise fee.
Resale Training Fee	Then-current training fee; currently $10,000.
Renewal Fee	20% of then-current standard initial franchise fee.
Omni-Channel Access Fee	Will vary under circumstances, currently $10,000.
Remodeling Expenses	Will vary under circumstances.
Costs and Attorneys’ Fees	Will vary under circumstances.
Audit	Cost of audit plus 1.5% interest per month from due date.
Interest Expenses	Lesser of 18% per year or the maximum rate permitted by law.
Management Fee	Up to $500 per day plus cost and overhead.
Insurance	If franchisees fail to obtain and maintain required insurance, the franchisor may immediately obtain insurance and they must promptly reimburse the franchisor for insurance, including late charges.
Software Support	Varies, currently $472 per month.
Omni-Channel Maintenance Fees	Then-current fee as described in the operations manual, currently $200 per month.
Omni-Channel Program Fees	Varies, includes administrative fee on certain product and reimbursement of national account, e-commerce and other program expenses and services provided to franchisees.
Avalara Avatax Service Fee	Varies, currently $26 per year.
Payment Gateway Fee	Varies, currently $22 per month.
Salesforce.com CRM Fee	Varies, currently $50 per month.
Managed Security Services (PCI Compliance) Program Fee	Currently $170 per month.
Regional Workshops and Supplemental and Refresher Training	Varies, currently $0 - $1,500 per day.
Optional Commercial as a Service - Standard Program	Currently, $1,785 per month for approximately 40 hours of support per month.
New Store Commercial Support	Currently, $1,150 per month.
Inventory Planning as a Service	Currently, $100 per month.
Annual Conference or Regional Meeting Fee	Varies, currently $0 to $1,500 per person plus lodging, meals and travel expenses.
Annual Conference or Regional Meeting Non-Attendance Fee	Currently $0 to $2,000 per event.
Payments to Ascent Relating to Products Purchased Through Supply Chain Program	Will vary.
Optional Resale Marketing Assistance Fee	Currently, $1,200 for a launch fee or $7,500 for a resale marketing fee.

The above information has been compiled from the FDD of Batteries Plus. Year of FDD: 2025.
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