Clean Juice Franchises: $581K Turnover & 5 Year Payback

Clean Juice is one of the recent success stories: since it started franchising in 2018, the chain expanded aggressively and now has over 125 stores in the US alone..!

Beyond the hype for organic juices, it’s also a very profitable franchise investment for franchisees. Clean Juice franchises are not only affordable (you would need to invest only $482,000 for startup costs), but also very profitable.

If you’re wondering whether you should open a new Clean Juice franchised store, you may want to know how much it really costs and how much profits you can really make with this business.

We’ve gone through the latest Financial Disclosure Document to give you a clear and transparent opinion on what you can expect as a franchisee. Let’s dive in!

Key stats

Franchise fee	$45,000
Royalty fee	6.00%
Marketing fee	5% to 8%
Investment (mid-point)	$482,000
Average sales	$581,000
Sales to investment ratio	11.0x
Minimum net worth	$500,000
Minimum liquid capital	$120,000

What is Clean Juice?

Clean Juice is an American faith-based restaurant chain of organic juice shops headquartered in Charlotte, North Carolina.

It serves organic juices, smoothies, acai bowls, wraps, salads, and sandwiches.

The chain was founded by Landon and Kat Eckles in 2014. Clean Juice began franchising in 2016 and has over 125 locations in the US.

Clean Juice franchises pros and cons

Pros

• Pre-opening training: The brand offers its franchisees comprehensive training about operating a successful Clean Juice franchise. Also, it trains them on how to operationalize the brand’s organic USDA standard, recruit and train staff, provide hospitality, and perform effective bookkeeping.
• Ongoing support: The brand provides its franchise owners with helpful continuous support and mentorship to establish and grow the restaurants. Franchisees benefit from meetings and conventions, periodic franchise inspections, performance analyses, and field operations to ensure quality and performance excellence.
• Real estate and development support: Clean Juice has a qualified real estate team to help its franchisees with site selection, lease negotiation, and building their restaurants cheaply. The franchisor employs reliable third-party data and demographic intelligence to help franchisees identify the perfect location in terms of market, visibility, traffic patterns, and competition.
• USDA-approved franchise: Clean Juice is the first and only USDA-organic certified franchise in the country. Franchisees have the opportunity to become part of a faith-based franchise with a great emphasis on organic, healthy foods and stand out from the competition, attract a lot of traffic, and improve the bottom lines.
• Exclusive territory protection: The franchisor grants its franchisees the right to operate in a specific, approved area. It may not authorize any other franchises or operate a competing business in the area.

Cons

• No absentee ownership: The franchise does not present a passive business opportunity. Franchisees are required to take an active role in the decision-making and daily operations of the restaurants.
• Not a part-time business opportunity: A Clean Juice franchise is not a part-time business opportunity. The franchisees should adhere to the agreed-upon working hours set by the parent company.
• Not a mobile-based business: The business cannot be run from home or a mobile unit. Franchisees should operate from a fixed office facility in or near their restaurants.
• No franchise financing: The brand does not finance its franchisees, directly or indirectly.

How much do Clean Juice franchises cost?

You have to invest around $482,000 to open a Clean Juice franchise restaurant.

This is an average: indeed, it varies based on many factors, such as the location of your restaurant and its size.

In addition to the initial franchise fee of $45,000, which you must pay to the franchisor, you would also pay for the leasehold improvements, furniture and fixtures, equipment, opening inventory, insurance, etc.

Here’s the full breakdown of costs:

Expense	Amount
Initial franchise fees	$45,000
Leasehold improvements	$100,000-$400,000
Furniture, fixtures, and equipment’s	$60,000-$100,000
Insurance	$3,000-$7,000
Additional funds -3 months	$15,000-$40,000
Other	$56,000-$93,500
Total	$279,000-$685,500

What’s the turnover of a Clean Juice franchise?

On average, a Clean Juice franchise restaurant makes $581,000 in sales per year.

This is the median turnover for the 101 of the 123 franchised restaurants operating in all  of 2022. This is an increase of 18.8% year-on-year vs. 2020 (+3.1% increase vs. 2021) as the chain recovered from the COVID-19 pandemic.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

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