novamedia
1724 North State Street, Big Rapids, MI 49307-9073 * Voice & Fax: [231]796-4637


Nova Review DEALERSHIP INVESTMENT REQUIREMENTS


Dealership Info

Dealership Fee- Guarantees the right to use our unique methods of operation .

Start-up Fee- This fee is for the initial 17 day training program which covers all aspects of operating a successful full service DEALERSHIP. Also provided is site selection and lease negotiation assistance, shop layout and setup, 5 days of on site opening support, and six direct mail programs of up to 2,000 pieces each to businesses in your area.

Equipment Package- Depends on your checklist information and evaluation of needs. Because we're a service business, it's imperative to have the right equipment that will provide the customer with high quality and good service. To achieve this, we have assembled the most comprehensive equipment package in the industry. ( For more on our Equipment Package, please refer to our checklist).

High Speed Copier- In addition to the self service which is included in the equipment package above, you will lease a high speed copier to handle the larger copy projects.

Working Capital- Funds must be available for a variety of startup expenses: deposits, leasehold improvements, travel and lodging for training, inventory, exterior signage, and others, In addition to these pre-opening expenses you will need adequate operating capital to pay rent, wages, equipment payments, and other regular business expenses during the initial phase of business operation. This initial phase will vary in time and expense for each new dealership depending on various factors including management skills, pricing, wages, competition, location and general "overhead". Accordingly, we require you to have a minimum of $31,000 in operating capital and $14,000 for pre-opening expenses for a total of $45,000 working capital. Personal living expenses during this initial period are not included in working capital.

  INVESTMENT CASH REQUIREMENT FINANCED
Dealership $18,000 $18,000 0
Startup Fee $14,000 0 $14,000
Equipment Package
(Internet Testing Software (SPSS))
$25,000 0 $25,000
High Speed Copier $2,000 0 $2,000
Working Capital      
Rent Deposit $ 1,000 -$ 3,000    
Leasehold Improvements
$ 4,000 -$12,000    
Telephone System $ 1,000 -$ 3,000    
Training Travel and Living
Expenses
$ 1,600 -$ 3,000    
Utility Deposits and
Prepaid Insurance
$ 1,200 -$ 2,000    
Initial Inventory $ 3,500 -$ 4,500    
Outside Signage $ 1,700 -$ 4,500    
Initial Operating Capital $13,000 $21,000    
  __________
0
Range $2,700 - $53,000 ______________ ________
    $18,000 $41,300


Financing- We will assist you in obtaining financing for the entire equipment package and startup fee. Your initial cash investment will be required for the Dealership Fee and Working Capital.

Royalty Fee- a monthly royalty fee assessed each center declines from 5% to 0% as an incentive to encourage high sales volumes. The royalty fee is waived during the first 60 days of operation.

Advertising Fund- This fund is used for Nova Review marketing and advertising programs. The fund contribution is $75.00 per month, not to exceed 1% of sales and is waived during the first 60 days of operation.

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