Your Investment
The Costs
Getting Started
The franchise licence fee for The Zip Yard is £12,000 (plus VAT).
This figure includes:
On top of this fee, you will also need to consider the cost of your premises, which is likely to include leasing and making ready to trade. You’ll also need to buy some preliminary stock and equipment – but don’t worry – we can supply this to you at a preferential rate to help keep your start-up costs down.
The exact amount you will need to get your new business up and running can vary depending on a number of factors, such as property lease prices, which can change a great deal from area to area.
However, based on a working average of the dozens of franchisees we have helped to start their own business, we estimate the cost of launching your own The Zip Yard store to be around £48,000 (plus VAT).
We are happy to share a more detailed breakdown of your expected costs if you decide to pursue this franchise opportunity further.
The initial term of the agreement is 10 years, with an automatic option to renew.
Help raising funds
While The Zip Yard does not provide financing directly, there are a number of attractive options to help you with your investment.
For example, it may be possible to obtain funding from most major high street banks for some of the amount. Franchising is one of the safest and most secure ways of starting your own business, so many lenders rightfully see it as a much lower risk than a completely new start-up, and may be much more inclined to lend you money.
The Zip Yard franchise has been operating for many years, and so has already demonstrated its financially viability to a number of big name banks.
Ongoing Costs
Of course, the vast majority of the money you make as a business owner stays with you, but there are some ongoing costs associated with being our franchisee.
The Zip Yard charges a Management Service Fee of 6%, of your net annual turnover (well below the average charged by most other franchises!)
We also expect you to pay a further 1.5% of your net turnover as a contribution towards our national and local marketing efforts. Unlike other franchises, however, this fund is not controlled solely by head office. Instead, it is managed by our franchisees themselves as part of the Franchise Advisory Council. As a valued member of our network, you will have a say in how this money can best be spent.