CD Warehouse

Founded: 1992 Franchising since: 1992
Mark Kane began selling compact discs at a Texas flea market in 1992. The $3,000 he made that first weekend inspired Kane to expand his concept into the CD Warehouse retail chain.

From that initial flea market booth, the company has opened locations throughout the U.S. as well as in Canada, England, France, Guatemala and Venezuela.

900 N. Broadway Oklahoma City, Oklahoma 73102

Phone: (405)236-8742 Franchisee Association CDW Franchisee Association

Franchisor is a privately-held company with 110 employee(s); 8 employee(s) in franchise department.

Franchise Growth

Year	U.S. Franchises	Canadian Franchises	Foreign Franchises	Company Owned
2005	159	3	11	27

Where Seeking Franchisees
In the U.S. Alaska, Alabama, Arkansas, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Missouri, Mississippi, Montana, Nebraska, North carolina, North dakota, New hampshire, New jersey, New mexico, Nevada, New york, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode island, South carolina, South dakota, Tennessee, Texas, United states, Utah, Virginia, Vermont, Washington, Wisconsin, West virginia, Wyoming

Exclusive territories available.
Territory size: Varies

Special Programs
Stores which reach $1 million in annual sales in a year are designated “Platinum Stars” and receive in-store recognition of their achievement.

Total investment: $127.1K-164.3K Franchise fee: $20K

Ongoing royalty fee: 4-5% Term of agreement: 10 years, renewable

Type of Financing Available

	In-House	Third Party
Franchise Fee	No	Yes
Startup Costs	No	Yes
Equipment	No	Yes
Inventory	No	Yes
Accounts Receivable	No	No
Payroll	No	No

Qualifications
Cash liquidity requirement: $40K-60K
Business Experience:

• General business experience
• Marketing skills

Operations

• 50% of all franchisees own more than one unit
• Number of employees needed to run franchised unit: 1 - 4
• Absentee ownership of franchise is allowed. (60% of current franchisees are owner/operators)

Training

• Available at headquarters: 5-8 days
• At franchisee's location: 3 days
• At training center : As needed

Ongoing Support

• Newsletter
• Meetings
• Toll-free phone line
• Internet
• Field operations/evaluations

Marketing Support

• Ad slicks