Clean Eatz Franchise AUV, Costs & Profits (2023)
Clean Eatz is one of the recent healthy food franchises that has expanded aggressively over the past few years, fuelled by strong underlying market demand for health(ier) food products. Over the past 5 years, the franchise went from 31 locations up to 83 today.
Beyond an attractive menu and strong market dynamics, is Clean Eatz a profitable business? Among all healthy food franchises, should you buy a Clean Eatz franchise?
With an initial investment of $459,000 on average and a $838,000 average turnover per year, Clean Eatz seems like a great franchise. But what about profits?
In this article we’re looking at Clean Eatz and its Franchise Disclosure Document to find out how much it (really) costs and how much profits you can realistically make with this business. Let’s dive in!
Key stats
Franchise fee | $49,500 |
Royalty fee | 6.0% |
Marketing fee | 5.0% |
Investment (mid-point) | $459,000 |
Average sales | $838,000 |
Sales to investment ratio | 1.8x |
Payback period | 6 years |
Minimum net worth | $500,000 |
Minimum liquid capital | $150,000 |
About Clean Eatz
Clean Eatz is an American restaurant committed to changing lives through a healthy cuisine that promote personal wellness.
It was founded in 2011 as a husband and wife partnership between Don and Evonne Varady and is headquartered in Wilmington, North Carolina.
The restaurant chain crafts unique fitness programs and nutritional products to meet every lifestyle need. It provides weekly meal plans, dine-in opportunities, healthy catering, grab-and-go meals, snacks and smoothies to ensure every client chooses what suits them best.
Clean Eatz opened its franchising doors in 2015 and today it operates over 80 active units in the US.
How much does a Clean Eatz franchise?
On average, you may need to invest around $459,000 to open a Clean Eatz franchise.
Startup costs
Here’s the full breakdown of costs:
Type of Expenditure | Low | High |
---|---|---|
Initial Franchise Fee | $49,500 | $49,500 |
Formation Costs | $166,500 | $529,500 |
Initial Marketing | $5,000 | $10,000 |
Operating Costs | $35,000 | $73,000 |
Total | $256,000 | $662,000 |
What is the Clean Eatz franchise fee?
The initial franchise fee for a Clean Eatz franchise is $49,500
In addition to the initial franchise fee, you must pay to the franchisor a royalty fee of 6.0% of revenues, as well as a variable marketing fee of 5.0% of revenues.
What is the turnover of a Clean Eatz franchise?
On average, a Clean Eatz franchise generates $838,000 in revenue per year.
How profitable is a Clean Eatz franchise?
On average, a Clean Eatz franchise makes $217,000 in profits per year. This corresponds to a 20.6% EBITDA margin.
Profit-and-loss | Amount ($) | As % of sales |
---|---|---|
Net Sales | $1,054,946 | 100% |
COGS | $(404,261) | 38.3% |
Labor | $(162,631) | 15.4% |
Ocupancy Cost | $(77,059) | 7.3% |
Other Opex | $(193,524) | 18.3% |
EBITDA | $217,471 | 20.6% |
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