HornerXpress Fact Sheet
New franchisees enter the HornerXpress system by acquiring a franchise for a new or existing business. The following financial resources are considered for acceptance into the franchise-training program. We require a minimum of $200,000 personal resources to consider an individual for a franchise.
Personal resources considered are:
- Cash on Hand
- Securities, bonds and debentures
- Vested profit sharing (net of taxes)
- Business or Real Estate Equity (exclusive of personal residence)
HornerXpress does not provide financing or loan guarantees, nor does it permit absentee investors.
The purchase price of an existing business is dependent upon a number of factors and is negotiated with the selling franchisee. Some of the costs to be considered in the purchase of an existing business include:
- purchase price paid to selling franchisee,
- sales or transfer taxes,
- reinvestment needs of the business, and
- ongoing fees.
|Initial Costs:||$25,000 Initial Fee paid to HornerXpress|
|Equipment and pre-opening costs:||Typically these costs range from $175,650 to $359,550. The size of the business facility, delivery option, pre-opening expenses, inventory, signage, and style of decor will affect new business costs. These are costs paid to suppliers.
The franchisee must pay fifty percent (50%) of the total costs of a new business from personal resources, and may finance the remainder from traditional sources. HornerXpress does not provide financing or loan guarantees and absentee investors are not allowed.
|Ongoing Fees:||A monthly fee based upon the business's sales performance (currently a service fee of 5% of monthly gross revenues for the first $750,000 of annual gross revenues; 4% of monthly gross revenues for the second $750,000 of annual gross revenues sales and 3% of monthly gross revenues for the third $750,000 of annual gross revenues, and all annual gross revenues in excess thereof.|