Smoothie Factory + Kitchen appears to be a struggling franchise system with significant red flags. The system has contracted dramatically from 21 units in 2022 to just 7 units by 2024, representing a 67% decline. The franchisor explicitly warns of a high turnover rate exceeding 69% over the past 3 years. With a 6% royalty fee and 3% marketing fund contribution, the ongoing costs are typical for food service, but the lack of financial performance representations (Item 19) combined with the severe unit decline suggests operational challenges. The $278,500-$475,000 investment range for traditional stores is moderate for the food service category, but potential franchisees should be extremely cautious given the system's contraction and high failure rate.
Generated from 2025 Franchise Disclosure Document
AI-generated from FDD analysis — use as a checklist with your attorney
Total startup costs, working capital, and financial requirements
Training, marketing support, technology, and operational assistance
Royalty, marketing, technology, and other ongoing fees
Revenue data, P&L estimates, and financial projections
Lawsuits, disputes, and legal risk assessment
Territory rights, term length, non-compete, and transfer rules
82 legal provisions scored on a franchisee-friendliness scale
Unit growth trends, exit rates, and system trajectory
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