Clean Juice Franchise Costs $279K – $686K (2024 Fees & Profits)
Clean Juice was founded in 2014 by Landon and Kat Eckles, who were inspired to create a business that aligned with their commitment to a healthy lifestyle and their Christian faith. The couple opened their first store in 2015 in Huntersville, North Carolina, and Clean Juice has since grown rapidly, now boasting over 200 locations across the United States.
Headquartered in Charlotte, North Carolina, Clean Juice is the first and only USDA-certified organic juice bar franchise, setting it apart in the competitive health food industry.
The brand offers a range of organic products, including juices, smoothies, acai bowls, salads, and wraps, all made from the highest quality superfoods. Clean Juice’s commitment to using only USDA-certified organic ingredients ensures that customers receive products free from harmful pesticides and GMOs. This dedication to organic quality is a significant differentiator from other juice and smoothie franchises, which may not adhere to such strict organic standards.
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Initial investment
Here’s what you can expect to spend to start a Clean Juice franchise.
Type of Expenditure | Amount |
---|---|
Franchise Fee | $45,000 |
ATM Fee | $10,000 |
Leasehold Improvements | $100,000 to $400,000 |
Construction Management Firm | $8,000 to $12,500 |
Real Estate Attorney (Lease Review) | $500 to $3,000 |
Security Deposit | $500 to $5,000 |
Furniture, Fixtures, and Kitchen Equipment | $60,000 to $100,000 |
Insurance | $3,000 to $7,000 |
Local Architects, Blueprints and Building Prints (Architect Fee) | $5,000 to $10,000 |
Point-of-Sale System & Office Equipment | $2,500 to $5,000 |
Digital Menu Boards and Audio Services | $8,000 to $13,000 |
Utility Deposits and Sales Tax | $1,000 to $3,000 |
Opening Inventory & Small Wares | $7,500 to $12,000 |
General Manager Expenses while Training | $1,000 to $6,000 |
Grand Opening Marketing | $10,000 |
Store Launch Kit | $2,000 to $4,000 |
Additional Funds (3 Months) | $15,000 to $40,000 |
TOTAL | $279,000 to $685,500 |
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Franchise fees & Royalties
Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.
Initial Franchise Fee
The initial franchise fee for Clean Juice is $45,000.
Royalty Fee
The royalty fee is 6% of gross sales.
Marketing/Advertising Fee
The marketing/advertising fee is 2% of gross sales.
Brand Fund Fee
The brand fund fee is 2% of gross sales.
National Branding Fee
The national branding fee is 1% of gross sales.
Technology Fee
The technology fee is $250 per month.
Transfer Fees
The transfer fee is $10,000.
Renewal Fees
The renewal fee is $10,000.
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Franchise pros and cons
The 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.
The 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 to open
Opening a Clean Juice franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Clean Juice franchise.
1. Assess Financial Requirements
- Ensure you have the necessary capital for investment.
- Minimum liquid capital required: $120,000.
- Total initial investment range: $274,500 – $576,000.
- Net worth requirement: At least $500,000.
2. Research and Choose a Location
- Identify potential markets for your franchise.
- Clean Juice provides market-specific data to help choose the best location.
- Evaluate demographic and market conditions to ensure the location suits the Clean Juice concept.
3. Submit an Inquiry
- Fill out the franchise interest form.
- Provide details such as desired city, state, liquid capital available, and net worth.
- Explain your interest in Clean Juice and your background.
4. Initial Contact and Application
- Expect a call from the Clean Juice franchise team.
- They will discuss your qualifications and interest.
- You will receive the Franchise Disclosure Document (FDD) for review.
5. Review the Franchise Disclosure Document (FDD)
- Study the FDD thoroughly.
- Understand the costs, franchise agreement terms, and obligations.
- Seek legal and financial advice if necessary.
6. Attend Discovery Day
- Participate in a Discovery Day event.
- Meet the corporate team in Charlotte, North Carolina.
- Tour Clean Juice facilities and gain a deeper understanding of the brand.
7. Secure Financing
- Explore financing options.
- Clean Juice may offer guidance on securing loans or other financing methods.
- Ensure you have the funds required for the initial investment and operational costs.
8. Sign the Franchise Agreement
- Finalize and sign the franchise agreement.
- This legally binds you to operate a Clean Juice franchise according to their standards.
9. Attend Training Programs
- Complete the Clean Juice University training.
- Training covers all aspects of running the franchise, including operations, marketing, and management.
- On-site training at your location will also be provided.
Disclaimer
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