The initial investment and subsequent development of units under your development schedule can vary considerably. You should consider factors which include the location of units, rent, rates and labours costs along with the projected working capital you will require whilst you build up your clients and get known in your development area. The size of your unit and the cost of materials for the construction can alter the price per square metre considerably. You should also consider the duties, taxes and shipping costs, so all of these can be correctly modelled in your projected profit and loss and capital expenditure budget.
Spun Candy can assist with estimating some of these costs. Our experience has taught us that you will need to have a minimum of $US500K for your initial unit excluding your exclusive Area Development fee and you should budget for around $US1.0M to complete the development schedule within the term. The total external (inward) investment for the development schedule can be much less depending upon your net profits.