In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Saladworks franchise, based on Item 7 of the company’s 2024 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Saladworks franchise, based on Items 5 and 6 of the company’s 2024 FDD

Section III – Number of franchised and company-owned Saladworks 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 Saladworks franchise opportunity

Section V – Presentation and analysis of Saladworks’ financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2024 FDD, including information on the:

• 2023 average square footage and average, median, highest, and lowest net sales for the 82 Saladworks franchised restaurants that were open and operating during Saladworks’ entire 2023 fiscal year, grouped by trade channel

• 2023 average square footage and average, median, highest, and lowest net sales for the 82 Saladworks franchised restaurants that were open and operating during Saladworks’ entire 2023 fiscal year, grouped by quartile

Section VI – Key ratios, comparables, computations, and analyses for the Saladworks franchise opportunity (exclusive content for Platinum subscribers)

Section I – Saladworks Franchise Costs

• Initial Franchise Fee:  $35,000
• Architectural Plan Review:  $0 to $1,000
• Architect Fees:  $12,000 to $15,000
• Permits and License Fee:  $1,500 to $5,000
• Leasehold Improvements:  $250,000 to $310,000
• Equipment:  $150,000 to $165,000
• Furniture:  $9,000 to $18,000
• Millwork:  $40,000 to $55,000
• Smallwares:  $9,000 to $11,000
• Exterior Signage:  $6,000 to $14,000
• Interior Signage and Graphics:  $1,000 to $2,500
• Technology Systems:  $20,300 to $25,200
• Grand Opening Marketing:  $15,000
• Uniforms, Menu Materials, Office Supplies:  $3,757
• Travel and Living Expenses While Training:  $0 to $2,500
• Opening Inventory:  $7,500 to $12,000
• Insurance:  $1,500 to $3,500
• Additional Funds – 3 Months:  $15,000 to $35,000
• Total Estimated Saladworks Franchise Costs: $576,557 to $728,457

Section II – Saladworks’ Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Initial Franchise Fee:  $35,000
• Royalty Fee:  6% of Net Sales
• Brand Development Fund Advertising Fee:  3% of Net Sales
• Local Advertising and Promotion:  2% of Net Sales

Section III – Number of Franchised and Company-Owned Saladworks Outlets

Franchised

2021

• Outlets at the Start of the Year:  85
• Outlets at the End of the Year:  88
• Net Change:  +3

2022

• Outlets at the Start of the Year:  88
• Outlets at the End of the Year:  94
• Net Change:  +6

2023

• Outlets at the Start of the Year:  94
• Outlets at the End of the Year:  95
• Net Change:  +1

Company-Owned

2021

• Outlets at the Start of the Year:  8
• Outlets at the End of the Year:  15
• Net Change:  +7

2022

• Outlets at the Start of the Year:  15
• Outlets at the End of the Year:  7
• Net Change:  -8

2023

• Outlets at the Start of the Year:  7
• Outlets at the End of the Year:  5
• Net Change:  -2

Section IV – News Updates on the Saladworks Franchise

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Saladworks Franchise (Item 19, 2024 FDD)

• This Item contains a historic financial performance representation about Saladworks’ existing franchised outlets in 2023. As of September 24, 2023, Saladworks had 95 franchised outlets, of which 89 had been open and operating during Saladworks’ entire 2023 fiscal year. Saladworks has excluded the results of 11 outlets who were new to the system and/or did not otherwise operate for the full fiscal year.

• The data used in preparing this financial performance representation was compiled from information submitted to Saladworks by the franchisees in their unaudited sales reports for their franchised restaurants.

• While Saladworks believes that these sales reports contain accurate information, Saladworks has not independently verified the information.

Part 1 – Net Sales Data of Saladworks Franchised Restaurants in 2023, by Trade Channel

Mall

• Number of Stores:  8
• Average Square Footage:  827
• Average Net Sales:  $747,129
• Median Net Sales:  $733,397
• Highest Net Sales:  $1,118,967
• Lowest Net Sales:  $465,441

Pad Site

• Number of Stores:  4
• Average Square Footage:  2,567
• Average Net Sales:  $1,006,248
• Median Net Sales:  $1,019,874
• Highest Net Sales:  $1,362,716
• Lowest Net Sales:  $622,530

Strip Mall

• Number of Stores:  64
• Average Square Footage:  2,368
• Average Net Sales:  $833,440
• Median Net Sales:  $858,071
• Highest Net Sales:  $1,925,955
• Lowest Net Sales:  $96,724

All Others

• Number of Stores:  6
• Average Square Footage:  1,386
• Average Net Sales:  $925,715
• Median Net Sales:  $781,273
• Highest Net Sales:  $1,932,013
• Lowest Net Sales:  $318,378

Part 2 – Net Sales Data of Saladworks Franchised Restaurants in 2023, by Quartile

Top 25%

• Number of Stores:  21
• Average Square Footage:  2,361
• Average Net Sales:  $1,249,718
• Median Net Sales:  $1,163,872
• Highest Net Sales:  $1,932,013
• Lowest Net Sales:  $1,051,056

Tier 2

• Number of Stores:  20
• Average Square Footage:  2,296
• Average Net Sales:  $942,079
• Median Net Sales:  $933,151
• Highest Net Sales:  $1,049,276
• Lowest Net Sales:  $854,368

Tier 3

• Number of Stores:  20
• Average Square Footage:  2,013
• Average Net Sales:  $737,799
• Median Net Sales:  $735,022
• Highest Net Sales:  $846,063
• Lowest Net Sales:  $640,719

Bottom 25%

• Number of Stores:  21
• Average Square Footage:  1,953
• Average Net Sales:  $431,183
• Median Net Sales:  $453,007
• Highest Net Sales:  $622,530
• Lowest Net Sales:  $96,724

• Net Sales means the full amount payable by the franchisees’ customers, less sales taxes, discounts, and honored coupons.

• Some outlets have earned this amount. Your individual results may differ. There is no assurance that you’ll earn as much.

Section VI – Saladworks Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️