If you are looking towards opening a Purified Water To Go Franchise, it will be nice for you to have a preview of what the company represents before going ahead to enquire about the total cost of opening the franchise in your location. Purified Water To Go was founded in 1992 and they began franchising in 1995, about 25 years ago. The founder and current CEO is Ronald Quinn and they have their corporate head office at 5160 S Valley View Blvd st 100 Las Vegas, NV 89118-1778.

Purified Water To Go stores provide water and related products to customers across the United States. Each location sells purified water by the gallon, purified ice as well as related products like crocks and coolers, dispensers, bottles and shower filters.

Here are areas where you are expected to spend money and the cost associated with it;

  1. Initial Investment Range: $45,500 – $205,600
  2. Franchise Fee: $29,500
  3. Royalty Fee: 6 percent of Gross Sales and the Due Date for this fee is Paid by electronic funds transfer every Friday for the preceding Reporting Period. The amount of the Royalty Fee for any renewal term will be that provided in the Franchise Agreement executed for such renewal term.

Please note that “Gross Revenues” include all revenues generated from the provision of any and all services and/or the sale of any and all products and, whether by the franchisee or a third-party provider, that relate to or arise from the Franchised Business. It does not include taxes collected from customers.

  1. Local Advertising Spend, Local Marketing Fund, or Cooperative Advertising Contribution: At least 1 percent per calendar year and the Due Date: for this is Monthly.

Please note that each local advertising Cooperative may elect to increase the monthly contribution if approved by a two-thirds majority of the members, and the minimum contribution is subject to adjustment by an amount not to exceed the increase in the CPI.

Centers owned by Purified Water To Go and its affiliates are also members of their respective local Cooperative and each company-owned Center has the same voting rights as the franchised locations within the Cooperative.

If the company-owned Centers comprise the majority of a given Cooperative, the maximum and minimum fees for that Cooperative will be consistent with the range stated in this Item 6.

  1. Liquidated Damages Under Area Development Agreement: This fee varies but the Due Date is Payable within 30 days of the termination of the Development Agreement.
  2. Audit Costs: All costs and expenses associated with the audit, reasonable accounting and legal costs.
  3. Indemnity: This fee will vary under the circumstances and the Due Date is As incurred.

Please note that you must reimburse Purified Water To Go if it is held liable for claims arising out of your franchise operations.

  1. Insurance: Reimbursement of costs the franchisor’s out-of-pocket costs.
  2. Equipment, Supply, or Supplier Testing or Inspecting: Fee not to exceed the actual costs of inspecting and testing. (Due Date:  Due on receipt of invoice.)

Please note that This fee covers the cost of testing or inspecting equipment, supplies, or suppliers you propose.

  1. POS Hardware and Software: Depends upon vendor and products purchased. (Due Date:  Depends upon vendor and products purchased.)
  2. Attorneys’ Fees and Costs: Will vary under circumstances. (Due Date:  As incurred.)

Payable to Purified Water To Go if it is forced to retain independent counsel and seek damages or injunctive relief to enforce the Franchise Agreement (whether or not suit is filed) or if Purified Water To Go is required to defend your unsuccessful claim against it.

  1. Veteran Incentives: This fee is open for negotiation with the company
  2. Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If requirements are met, franchisees can renew for one additional term of 10 years.
  3. Financial Assistance: Purified Water To Go has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, and payroll et al.

In Summary,

  • Initial Investment: $45,500 – $205,600
  • Net-worth Requirement: $150,000
  • Liquid Cash Requirement: $25,000 – $40,000
  • Ongoing Initial Franchise Fee: $15,000 – $29,500
  • Ongoing Royalty Fee: 6%
  • Ad Royalty Fee: $200/mo.
  • Renewal Fee: $5000
How Much Does It Cost to Open Water to Go Franchise?