Blood. Sweat. Tears. Passion.
And some cash.

That's what it takes to open your own deli. Want something a little more specific? Read on.

We estimate that you will incur the initial investment costs for an individual deli as described below. If you are developing multiple delis at the same time, we estimate that additional costs will be incurred by you over and above the costs described below (refer to Note 8 in particular).

Projected costs to open a 4,500 to 5,000 sq. ft. Jason's Deli

Item	Range
Initial Franchise Fee/Development Fee:	$35,000* see formula described in Note 1, also in Note 8*
Build-Out or Remodeling of 4500 sq.ft. premises: (Note 2)	$300,000 - $465,000**
Equipment: (all major equipment, small wares furniture and décor) Most of these items available through Sharra (Notes 4,5 & 9).	$250,000 - $275,000*
Administrative $ Miscellaneous: (including initial training (Note 6), pre-opening advertising ($5,000), deposits (rent, utility and sales tax), licenses, insurance (Note 3) and interim interest payments)	$60,000 - $80,000*
Initial Inventory:	$15,000*
Additional Funds: 3-months (Notes 6,7 & 10)	$20,000 - $35,000

Total Expenses: $680,000 - $905,000

**None of the above is refundable
**These expenses are paid in a lump sum.
**These expenses are paid as they are incurred.

NOTES (aka the nitty-gritty):

1. The development fees are payable in lump sum upon execution of the Development Agreement. The development fee is calculated at a rate of $17,500 for each Deli that you are authorized to develop, computed as set forth in Item 5. Additionally, a Developer must pay to Franchisor an initial franchise fee in the amount of $17,500.
2. Currently, we are locating primarily in strip centers. Five free standing locations exist. Most delis are located, however, in already existing locations within strip centers which are built-out by Franchisor. A significant portion of construction costs for these locations ($5,000 - $85,000, assuming a 4500 sq. ft. premises) are typically paid by lessor through a lessor’s allowance arrangement provided for in the lease. However, the above figures do not contain a general contractor’s fee, which varies by region, but is typically between 10% and 15% of the cost of the construction.
3. Rental costs will vary dramatically depending upon the type of lease negotiated and regional and local factors. Monthly rental between $6000 and $12,000 (not including percentage rental, common area maintenance, taxes, insurance and promotion fund payments) is usual in Texas markets where Franchisee owned delis are located and where a landlord provides a build-out allowance in the range noted above. You may purchase land and build the Deli or you may enter a land lease and build the deli itself. No estimates of land cost or lease payments for a land lease are included herein. In either of the above instances costs would be significantly higher then outlined.
4. In addition to the costs set forth, you will be responsible for all freight, installation and electrical contractors costs.
5. The cost of sign structures, exterior sign faces and interior signs will vary based upon the size and number of signs purchased.
6. You and at least four (4) other persons must attend the initial training program.
7. Adequate working capital is indispensable to any start-up business. Franchisor recommends an amount not less than the amount set forth. The amount indicated does not include a salary or living expenses for you during training or otherwise.
8. If you are engaged in developing multiple delis concurrently, you will incur additional costs over and above the multiple of the costs described above for a single deli. You will incur additional personnel and training costs in order to have trained staff ready for new delis as they open. You will also incur additional advertising expenses in connection with the grand opening advertising campaign for each deli, which will be coordinated with your other existing delis. Franchisor estimates that the additional personnel and training costs incurred by Franchisee will range from $15,000 to $50,000 and the additional advertising costs will range from $5000 to $7000.
9. Franchisor is only permitting new equipment and fixtures unless you have received our prior written approval. Franchiser does not offer, either directly or indirectly, any financing arrangements for you.
10. This category estimates your initial start-up expenses for 3-months based on Franchisee experience with company owned delis. These expenses include payroll costs, continuing inventory purchases, lease payments and so forth. It is not possible to predict these expenses with exactness, since they will vary due to your experience, your willingness to follow exactly our methods and procedures, local and economic conditions and the acceptiveness for your products and services in the local marketplace and the gross sales level you reach during the three (3) month period. The above figures are based upon current costs or reasonable estimates. All of the figures are subject to change. These estimates do not include any expenditures for legal, accounting or other professional fees, nor for moneys expended by you investigating the franchise opportunity. Based upon the above figures, your total initial investment, exclusive of the purchase of land or building construction costs, but including the initial franchise fee and typical build-out costs, is approximately $680,000 to $905,000 for a 4500 to 5000 square foot deli. Expenses for the development of the multiple delis would be in addition to this range and would be as described in Notes 1 and 8 to the preceding chart. These expenses will vary according to region, the time of year and local or other conditions. These figures are provided solely to indicate possible costs for planning purposes.

Did you get all that?