In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:
Section I – Estimated initial investment (franchise costs) for a Pure Green franchise, based on Item 7 of the company’s 2024 FDD
Section II – Initial franchise fee, royalty fee, and marketing fee for a Pure Green franchise, based on Items 5 and 6 of the company’s 2024 FDD
Section III – Number of franchised and company-owned Pure Green outlets at the start of the year and the end of the year for 2021, 2022, and 2023, based on Item 20 of the company’s 2024 FDD
Section IV – News updates on the Pure Green franchise opportunity
Section V – Presentation and analysis of Pure Green’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2024 FDD, including information on the:
- 2023 average, median, highest, and lowest gross sales and gross profits for the 14 Pure Green franchise outlets that were open for the full calendar year in 2023, by quartile
Section VI – Key ratios, comparables, computations, and analyses for the Pure Green franchise opportunity (exclusive content for Platinum subscribers)
Section I – Pure Green Franchise Costs
- Pure Green franchise costs, based on Item 7 of the company’s 2024 FDD:
- Initial Franchise Fee: $40,000
- Leasehold Improvements: $60,000 to $220,000
- Real Estate/Rent: $2,000 to $12,500
- Utility Deposits: $150 to $400
- Furniture, Fixtures, and Equipment: $50,000 to $75,000
- Initial Inventory: $2,500 to $10,000
- Insurance: $300 to $1,500
- Signage: $2,000 to $10,000
- Office Equipment and Supplies: $250 to $500
- Pre-Opening Expenses: $2,500 to $10,000
- Computer Equipment (Hardware, Software, POS System, etc.): $750 to $1,500
- Training: $1,500 to $4,000
- Licenses and Permits: $1,500 to $3,000
- Legal and Accounting: $1,000 to $3,500
- Grand Opening Advertising: $1,000 to $5,000
- Additional Funds – Three Months: $12,000 to $50,000
- Total Estimated Pure Green Franchise Costs: $177,450 to $446,900
Section II – Pure Green’s Initial Franchise Fee, Royalty Fee, and Marketing Fee
- Pure Green’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2024 FDD:
- Initial Franchise Fee: $40,000
- Royalty Fee: 6% of Gross Revenues each month after opening and when open 6 full calendar months, 6% of Gross Revenues or $1,000, whichever is greater, each month and every month thereafter
- National Advertising Contributions: 2% of Gross Revenues
- Local Advertising: 1% of Gross Revenues
- Regional Advertising Cooperative: up to 1% of Gross Revenues
Section III – Number of Franchised and Company-Owned Pure Green Outlets
Franchised
2021
- Outlets at the Start of the Year: 1
- Outlets at the End of the Year: 7
- Net Change: +6
2022
- Outlets at the Start of the Year: 7
- Outlets at the End of the Year: 15
- Net Change: +8
2023
- Outlets at the Start of the Year: 15
- Outlets at the End of the Year: 23
- Net Change: +8
Company-Owned
2021
- Outlets at the Start of the Year: 3
- Outlets at the End of the Year: 2
- Net Change: -1
2022
- Outlets at the Start of the Year: 2
- Outlets at the End of the Year: 8
- Net Change: +6
2023
- Outlets at the Start of the Year: 8
- Outlets at the End of the Year: 9
- Net Change: +1
Section IV – News Updates on the Pure Green Franchise
Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Pure Green Franchise (Item 19, 2024 FDD)
- There were 14 Pure Green Franchise Outlets that were open for the full calendar year in 2023. The average Gross Sales and Gross Profits of the outlets are listed below.
- There were 9 franchise outlets that opened during 2023 and one franchise outlet that closed in 2023. These outlets were not open the entire year and are not included in the table below.
- The term “Gross Sales” for franchised Stores are those calculated in accordance with the definition included in each respective franchisee’s disclosure document and franchise agreement, which are the same or similar to the definition in this disclosure document. The Gross Sales amounts needed for the above calculations were derived from Pure Green’s point-of-sale system and online sales orders.
- The financial information is taken from unaudited financial information provided to Pure Green by its franchisees and online ordering service providers. It has not been independently audited.
- Some outlets have earned this amount. Your individual results may differ. There is no assurance you’ll earn as much.
Franchised Outlet Gross Sales Averages and Medians Per Quartile (2023)
Top Quartile
- Total Stores in Quartile: 3
- Average Gross Sales: $1,130,744
- Number and Percent That Met or Exceeded Average: 1/3 (33%)
- Median Gross Sales: $943,542
- Lowest Gross Sales: $778,346
- Highest Gross Sales: $1,670,346
2nd Quartile
- Total Stores in Quartile: 3
- Average Gross Sales: $690.855
- Number and Percent That Met or Exceeded Average: 2/3 (66%)
- Median Gross Sales: $719,241
- Lowest Gross Sales: $616,531
- Highest Gross Sales: $736,792
3rd Quartile
- Total Stores in Quartile: 4
- Average Gross Sales: $549,221
- Number and Percent That Met or Exceeded Average: 3/4 (75%)
- Median Gross Sales: $556,497
- Lowest Gross Sales: $513,583
- Highest Gross Sales: $570,408
Bottom Quartile
- Total Stores in Quartile: 4
- Average Gross Sales: $368,775
- Number and Percent That Met or Exceeded Average: 2/4 (50%)
- Median Gross Sales: $370,183
- Lowest Gross Sales: $282,769
- Highest Gross Sales: $451,964
Section VI – Pure Green Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️
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