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Retail 737 Units

Batteries Plus Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$243,407 – $536,137

Franchise Fee

$44,500

Royalty Rate

5.0%

Initial Investment Range

Low: $243,407 High: $536,137

The total initial investment to open a Batteries Plus franchise ranges from $243,407 to $536,137, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $44,500.

Midpoint estimate: $389,772

Franchise Fee

$44,500

One-time initial fee

The Batteries Plus franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Batteries Plus brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

5.0%

of gross revenue

Ad/Marketing Fund

1.0%

of gross revenue

Total Ongoing Fee Burden: 6.0% of gross revenue

Combined royalty and advertising fund contributions before any other fees.

Other Ongoing Fees

Fee Type Rate Type Notes
Royalty and Service Fee 5.0 PCT Payable by electronic funds transfer on or before the 10th day of the month following month in which sales were made. Waiver available: up to $27,500 waived for 12 months if commercial sales begin by 12/30/25, and additional $27,500 waived if $550,000+ Net Revenues achieved in first 12 months. Some franchisees pre-April 2011 may receive rebate on portion above 4%.
Income and Sales Taxes N/A VARIABLE Only imposed if state collects these taxes or assessments. Payable by electronic funds transfer at same time as royalty and service fee.
National Marketing and Promotional Fee 1.0 PCT Payable by electronic funds transfer at same time as royalty and service fee. Used for national marketing and promotional activities.
Digital Marketing and Local Media Program Contribution 3.0 PCT Payable by electronic funds transfer at same time as royalty and service fee. Cannot exceed greater of 3% of Net Revenues or Minimum Store Promotion Requirement. $20,000 paid upfront when Store opens for retail, then applied to monthly contributions.
Advertising/Marketing Cooperative(s) 3.0 PCT Amount determined by Batteries. When combined with Digital Marketing and Local Media Program contributions, cannot exceed 4% of Net Revenues. Used for regional and local advertising or marketing activities.
Minimum Store Marketing Obligation 4.0 PCT Must spend on approved Store advertising and promotional activities. First year: prorated $20,000 based on weeks in operation. Subsequent years: greater of 4% of prior year Net Revenues or $20,000. If not met, must deposit difference with franchisor.
New Store Marketing Campaign 6000.0 FIXED Required upon Store relocation. Used for local Store opening promotions. Due as directed beginning at relocation and continuing for up to 90 days.
Store Relocation Fee 5500.0 FIXED Payable before franchisor reviews proposed new Store site. Non-refundable.
Development Schedule Extension Fee 2500.0 FIXED Waived for first three months; $2,500 per month for up to 4 additional months. Applies to Multiple Unit Franchise Agreement extensions. Payable only if extension is allowed.
Franchise Agreement Extension Fee 2500.0 FIXED Waived for first three months; $2,500 per month for up to 4 additional months. For extension of time to open Store. Does not apply if extension previously received for this Store under Multiple Unit Franchise Agreement.
Transfer Fee 50.0 PCT Payable before completion of transfer. Applies when Franchise Agreement, substantial portion of Store assets, or controlling interest is transferred.
Resale Training Fee 10000.0 FIXED Currently $10,000. Transferee must complete training upon Store transfer. Payable before completion of transfer.
Renewal Fee 20.0 PCT Payable at least 30 days before renewal of Franchise Agreement.
Omni-Channel Access Fee 10000.0 FIXED Currently $10,000. Will vary under circumstances. Payable before transfer completion or at least 30 days before renewal. May increase up to 10% each calendar year. Waived for certain franchisee groups with agreements signed by 3/31/2015.
Remodeling Expenses N/A VARIABLE Required on notice from franchisor. May range from painting to complete refurbishment including fixtures, signs, supplies and equipment. Costs vary by Store. May be paid to third parties. Additional expenses if Store is relocated.
Costs and Attorneys' Fees N/A VARIABLE Franchisor may recover costs and reasonable attorneys' fees if franchisee loses in a dispute.
Audit N/A VARIABLE Payable 30 days after billing. Only payable if audit shows understatement of at least 2% of Net Revenues for any month.
Interest Expenses 18.0 PCT Payable if franchisee does not timely pay Royalty and Service Fee, NMF Fee, Digital Marketing Fee, or other amounts owed.
Management Fee 500.0 FIXED Payable if franchisee is in default and franchisor elects to operate Store until default is cured.
Insurance N/A VARIABLE Payable before opening. If franchisee fails to obtain and maintain required insurance, franchisor may immediately obtain insurance and franchisee must promptly reimburse including late charges.
Software Support 472.0 FIXED Currently $472 per month. May increase up to 10% each calendar year.
Omni-Channel Maintenance Fees 200.0 FIXED Currently $200 per month. Then-current fee as described in Operations Manual. May increase up to 10% each calendar year.
Omni-Channel Program Fees N/A VARIABLE Includes administrative fee on product sold to key accounts and other customers, plus reimbursement for operational expenses related to Omni-Channel Program. May increase up to 10% each calendar year.
Avalara Avatax Service Fee 26.0 FIXED Currently $26 per month. May increase if third party costs increase; overhead/administrative portion will not exceed 10% of total fee.
Payment Gateway Fee 22.0 FIXED Currently $22 per month. May increase if third party costs increase; overhead/administrative portion will not exceed 10% of total fee.
Salesforce.com CRM Fee 50.0 FIXED Currently $50 per month. May increase if third party costs increase; overhead/administrative portion will not exceed 10% of total fee.
Managed Security Services (PCI Compliance) Program Fee 170.0 FIXED Currently $170 per month. May increase if third party costs increase; overhead/administrative portion will not exceed 10% of total fee.
Regional Workshops and Supplemental and Refresher Training 1500.0 FIXED Currently $0 to $1,500 per day. Payable when incurred. May increase up to 10% each calendar year.
Optional Commercial as a Service 1785.0 FIXED Currently $1,785 per month. Optional program where franchisor provides commercial sales support. May increase up to 10% each calendar year. New franchisees from transfers and underperforming Stores must participate for minimum 8 months.
New Store Commercial Support 1150.0 FIXED Currently $1,150 per month. For new franchisees opening first Store. Must participate for first 12 months after completing commercial sales training. First 3 months covered in Initial Franchise Fee. May increase up to 10% each calendar year.
Inventory Planning as a Service 100.0 FIXED Currently $100 per month. Required for first 12 months in new Store opening, renewal, or transfer situations unless waived. Fee waived for first 6 months of Store operations. May increase up to 10% each calendar year.
Annual Conference or Regional Meeting Fee 1500.0 FIXED Currently $0 to $1,500 per person per event. Registration billed 6 months before convention. Applies only if franchisor schedules event. May increase up to 10% each calendar year.
Annual Conference or Regional Meeting Non-Attendance Fee 2000.0 FIXED Currently $0 to $2,000 per event. Payable if franchisee fails to attend. $2,000 per active Franchise Agreement with cap of $10,000 per franchisee owner group. May increase up to 10% each calendar year.
Payments to Ascent Relating to Products Purchased Through Supply Chain Program N/A VARIABLE Amount will vary. Payable when incurred. See Item 8 for details.
Optional Resale Marketing Assistance Fee N/A VARIABLE Optional program. $1,200 Launch Fee when engaging with program (business profile, marketing collateral, advertising, virtual tour, diligence assistance). $7,500 Resale Marketing Fee when Store is sold (includes ~6 months marketing assistance). Does not include third party costs like business evaluation or digital listing fees.
Secret Shopper Fee 500.0 FIXED Currently $0 to $500 per occurrence, up to two (2) per year. Franchisee reimburses for first 2 visits if franchisor engages secret shopper for documented performance issues. Franchisor covers costs beyond first 2 visits except if related to termination default. May increase up to 10% each calendar year.

What You Get

Category

Retail

System Size

737 units

Franchise Score

77

out of 100

Batteries Plus sells batteries, lighting, and related products for consumer, commercial, and industrial applications with expert customer service. The franchise also provides services such as battery testing, bulb installation, and key copying.

Financial Performance (Item 19)

Median Revenue

$927,931

per year, per location

Mean Revenue

$1,057,629

per year, per location

Profitability Estimate

Estimated Owner Profit

$463,966

per year

Profit Margin

50.0%

of revenue

Estimation method: disclosed

Estimated ROI (Simple Payback): 0.8 years

Based on midpoint investment of $389,772 and estimated annual owner profit of $463,966.

Unit Growth & Failure Rate

Avg. Annual Closure Rate

N/A

Net Unit Growth

+14 units

From 2022 to 2024

Unit Activity History

Year Start Opened Closed Transfers End
2022 590 609
2023 609 606
2024 606 604

Is a Batteries Plus Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Batteries Plus franchise opportunity:

Overall Score

77/100

Strong opportunity

Est. Payback Period

0.8 yrs

Fast payback

Risk Level

N/A

Insufficient data

Batteries Plus scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $927,931 and a combined fee burden of 6.0% of gross revenue, prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.

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