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FDD Talk: How Much Does a Clean Juice Franchise Make (Average Revenues and/or Profits)?

Published on May 12, 2022 by Franchise Chatter Leave a Comment
in FDD Talk 2021: Food Franchises, Franchise Earnings, Juice Franchise, Smoothie Franchise



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

  • Section I – Background information on the Clean Juice franchise opportunity, including relevant news updates
  • Section II – Estimated initial investment for a Clean Juice franchise, based on Item 7 of the company’s 2021 FDD
  • Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a Clean Juice franchise, based on Items 5 and 6 of the company’s 2021 FDD
  • Section IV – Number of franchised and company-owned Clean Juice outlets at the start of the year and the end of the year for 2018, 2019, and 2020, based on Item 20 of the company’s 2021 FDD
  • Section V – Presentation and analysis of Clean Juice’s financial performance representations, based on Item 19 of the company’s 2021 FDD, including information on the:
  • 2020 average, median, high, and low gross sales and gross profit for the top 10%, top 25%, top 50%, top 75%, bottom 10%, bottom 25%, bottom 50%, bottom 75%, and all 52 franchised Clean Juice stores that were open for the entire 2020 calendar year that did not change ownership within the 2020 calendar year and that did not close for more than two weeks due to the COVID pandemic
  • 2020 average, median, high, and low gross sales and gross profit for the top 10%, top 25%, top 50%, top 75%, bottom 10%, bottom 25%, bottom 50%, bottom 75%, and all 8 corporate Clean Juice stores that were open for the entire 2020 calendar year that did not change ownership within the 2020 calendar year and that did not close for more than two weeks due to the COVID pandemic

Section I – Background Information

17 Things You Need to Know About the Clean Juice Franchise

Signs Tim Tebow as National Brand Ambassador

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1.  In late July 2021, Clean Juice announced its official partnership with professional football player and philanthropist Tim Tebow. The partnership aligns Clean Juice’s core values of healthy, clean living with a focus on raising the nutritional and educational value of organic food and beverage choices available to consumers across the nation.

2.  The partnership with Clean Juice is highlighted by the creation of the brand’s first-ever national TV spot featuring Tebow and his experience with the brand. The spot and subsequent videos featuring Tebow will be utilized across multiple strategies and platforms to build awareness of the award-winning brand. Clean Juice will also feature Tebow in social media, web, point-of-purchase materials, product development, and more.

3.  Landon Eckles, CEO of Clean Juice, said, “Tim Tebow’s natural authenticity, inspiring reputation, commitment to healthy living, and unwavering faith is the perfect embodiment of the personal and professional values we hold dear at Clean Juice. We are truly blessed that Tebow has chosen to stand side-by-side with Clean Juice in becoming the face of the brand’s continued mission and vision of being healthy in body and strong in spirit. The entire Clean Juice family is blessed to work with Tebow.”

4.  Tebow’s success on the athletic field and his unwavering commitment to his faith have made him a source of inspiration to people all over the world. He is the founder and chairman of the board of the Tim Tebow Foundation, which operates ministries that are dedicated to serving and celebrating people with special needs, caring for homeless and abandoned children, providing physical and spiritual care to children with profound medical needs, and fighting human trafficking.

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5.  Tebow said, “I’m very excited to be partnering with Clean Juice and to offer something that is truly clean and healthy. The biggest thing about Clean Juice over everything else is that you can trust the product and brand. There aren’t a lot of products that are transparent about what is in your food.”

6.  Tim Tebow is a two-time national champion, first-round NFL draft pick, and Heisman Trophy winner. After his first stint in the NFL, Tebow joined ESPN and the SEC Network. In addition to his role on SEC Nation, the network’s traveling roadshow, Tebow contributes to a variety of other ESPN platforms. In fall 2016, he signed a baseball contract with the New York Mets before returning to the NFL in 2021.

7.  Through it all, Tim’s true passion remains the work of the Tim Tebow Foundation, which he began in 2010. The foundation’s mission is to bring Faith, Hope, and Love to those needing a brighter day in their darkest hour of need. The foundation is fulfilling that mission every day by fighting for those who can’t fight for themselves all around the world.

8.  In addition to the brand ambassadorship, Clean Juice is partnering with the Tim Tebow Foundation, as they collectively pursue a strong commitment to enhancing local communities through the company’s Quarters 4 Kids initiative. Launched at the height of the COVID-19 pandemic, Quarters 4 Kids serves underprivileged children to become “healthy in body and strong in spirit” by providing access and education to underprivileged children about proper nutrition, the benefits of organic eating, exercise, and improving overall wellness.

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9.  Eckles added, “We are honored and blessed to align our philanthropic vision and dream of making meaningful and impactful contributions toward underprivileged children and communities with Tebow and his foundation. His unwavering faith, indomitable spirit, and passion for health and wellness is the embodiment of authenticity, altruism, and genuine compassion for all people. We couldn’t think of anyone better than Tebow and his foundation to fulfill our dream of faithful community service.”

Appoints New Chief Marketing Officer

10.  In early February 2022, Clean Juice announced the promotion of B. Quick Chadwick to the position of chief marketing officer. As the newest member of the C-suite, Chadwick will continue his role in developing and leading all marketing and public relations efforts across a multitude of traditional and digital channels. Additionally, Chadwick will assist the marketing programs for Clean Juice’s sister franchise brand, freecoat nails.

11.  Earning his Master of Business Administration from Mercer University’s Stetson School of Business and Economics, Chadwick is a veteran marketing professional drawing on more than 20 years of experience in his role with Clean Juice.

12.  Chadwick said, “Through God’s grace, my desire to work with an amazing group of people and a meaningful brand brought me to the doorstep of Clean Juice nearly four years ago. I am extremely proud to be a part of the Clean Juice family, where I’ve been a part of helping build a brand built on core values and its walk-the-walk focus of ‘Healthy in Body, Strong in Spirit’ for all people and communities within Clean Juice Nation.”

13.  As chief marketing officer, Chadwick inspires the voice, sentiment, and brand reputation through his expertise and professional ethics as Clean Juice continues to award new units and welcomes new Franchise Partners to the family. It’s clear to all that meet him that Chadwick’s passion and leadership, anchored in his faith, is the reason the Clean Juice Marketing Services Team is so successful.

14.  Landon Eckles, CEO of Clean Juice and freecoat nails, said, “Kat and I, as well as the entire Clean Juice and freecoat nails family, are very proud of Quick’s contributions and accomplishments. Quick brings a level of expertise, drive, and passion that is un-wavered. We are inspired by his commitment and proven ability to continue the forward momentum we’ve ignited as we enter another year of growth.”

Company History

15.  Clean Juice was founded in 2015 by husband and wife team, Kat and Landon Eckles, in Huntersville, North Carolina. Kat Eckles began making her own juices and smoothies as a way to keep her family healthy. After the Eckles decided that they wanted to start their own business, Kat Eckles realized that there weren’t many juice bars in the area.

16.  The first Clean Juice store was a success and the Eckles opened a second location in 2016. By that summer, the Eckles started franchising the Clean Juice concept. The company grew quickly and by 2018, there were 100 Clean Juice bars in operation. Currently, there are Clean Juice locations across 27 states. The company says that its goal is to eventually have Clean Juice bars in all 50 states.

Entrepreneur’s Franchise 500

17.  Clean Juice ranked No. 260 on Entrepreneur’s 2022 Franchise 500 list.

Section II – Estimated Costs

  • Detailed estimates of Clean Juice franchise costs, based on Item 7 of the company’s 2021 FDD.

Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees

  • Detailed information on Clean Juice’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2021 FDD.

Section IV – Number of Franchised and Company-Owned Outlets

Franchised

2018

  • Outlets at the Start of the Year:  13
  • Outlets at the End of the Year:  47
  • Net Change:  +34

2019

  • Outlets at the Start of the Year:  47
  • Outlets at the End of the Year:  72
  • Net Change:  +25

2020

  • Outlets at the Start of the Year:  72
  • Outlets at the End of the Year:  87
  • Net Change:  +15

Company-Owned

2018

  • Outlets at the Start of the Year:  6
  • Outlets at the End of the Year:  7
  • Net Change:  +1

2019

  • Outlets at the Start of the Year:  7
  • Outlets at the End of the Year:  11
  • Net Change:  +4

2020

  • Outlets at the Start of the Year:  11
  • Outlets at the End of the Year:  13
  • Net Change:  +2

Section V – Financial Performance Representations (Item 19, 2021 FDD) and Analysis

  • The following charts include data from all of Clean Juice’s franchised and affiliate-owned (“corporate”) stores that were open for the entire 2020 calendar year that did not change ownership within the 2020 calendar year and that did not close for more than two weeks due to the COVID pandemic.
  • There were 60 outlets open for the entire fiscal year that did not change ownership or close for more than two weeks due to the COVID pandemic. Of these 60 stores, 52 of them were owned by franchisees and 8 were owned by Clean Juice’s affiliates.

A. Franchised Units

Top 10%

  • Number of Units in Category:  5
  • Average Gross Sales:  $708,111
  • Met or Exceeded Average Gross Sales:  3 (60%)
  • Median Gross Sales:  $710,733
  • High Gross Sales:  $769,704
  • Low Gross Sales:  $657,323
  • Average Gross Profit:  $478,893
  • Met or Exceeded Average Gross Profit:  2 (40%)
  • Median Gross Profit:  $477,223
  • High Gross Profit:  $548,363
  • Low Gross Profit:  $438,197

Top 25%

  • Number of Units in Category:  13
  • Average Gross Sales:  $632,313
  • Met or Exceeded Average Gross Sales:  6 (46.2%)
  • Median Gross Sales:  $604,275
  • High Gross Sales:  $769,704
  • Low Gross Sales:  $545,520
  • Average Gross Profit:  $428,295
  • Met or Exceeded Average Gross Profit:  5 (38.5%)
  • Median Gross Profit:  $416,650
  • High Gross Profit:  $548,363
  • Low Gross Profit:  $371,213

Top 50%

  • Number of Units in Category:  26
  • Average Gross Sales:  $574,255
  • Met or Exceeded Average Gross Sales:  9 (34.6%)
  • Median Gross Sales:  $543,612
  • High Gross Sales:  $769,704
  • Low Gross Sales:  $490,416
  • Average Gross Profit:  $389,187
  • Met or Exceeded Average Gross Profit:  9 (34.6%)
  • Median Gross Profit:  $368,630
  • High Gross Profit:  $548,363
  • Low Gross Profit:  $327,396

Top 75%

  • Number of Units in Category:  39
  • Average Gross Sales:  $529,881
  • Met or Exceeded Average Gross Sales:  16 (41.0%)
  • Median Gross Sales:  $514,476
  • High Gross Sales:  $769,704
  • Low Gross Sales:  $393,558
  • Average Gross Profit:  $358,912
  • Met or Exceeded Average Gross Profit:  17 (43.6%)
  • Median Gross Profit:  $354,575
  • High Gross Profit:  $548,363
  • Low Gross Profit:  $260,459

Total

  • Number of Units in Category:  52
  • Average Gross Sales:  $484,954
  • Met or Exceeded Average Gross Sales:  28 (53.8%)
  • Median Gross Sales:  $489,197
  • High Gross Sales:  $769,704
  • Low Gross Sales:  $290,868
  • Average Gross Profit:  $325,758
  • Met or Exceeded Average Gross Profit:  26 (50%)
  • Median Gross Profit:  $325,929
  • High Gross Profit:  $548,363
  • Low Gross Profit:  $188,152

Bottom 10%

  • Number of Units in Category:  5
  • Average Gross Sales:  $319,137
  • Met or Exceeded Average Gross Sales:  2 (40%)
  • Median Gross Sales:  $312,457
  • High Gross Sales:  $348,242
  • Low Gross Sales:  $290,868
  • Average Gross Profit:  $201,696
  • Met or Exceeded Average Gross Profit:  2 (40%)
  • Median Gross Profit:  $200,470
  • High Gross Profit:  $219,330
  • Low Gross Profit:  $188,152

Bottom 25%

  • Number of Units in Category:  13
  • Average Gross Sales:  $350,173
  • Met or Exceeded Average Gross Sales:  8 (61.5%)
  • Median Gross Sales:  $363,220
  • High Gross Sales:  $389,776
  • Low Gross Sales:  $290,868
  • Average Gross Profit:  $226,296
  • Met or Exceeded Average Gross Profit:  7 (53.8%)
  • Median Gross Profit:  $235,131
  • High Gross Profit:  $257,566
  • Low Gross Profit:  $188,152

Bottom 50%

  • Number of Units in Category:  26
  • Average Gross Sales:  $395,653
  • Met or Exceeded Average Gross Sales:  12 (46.2%)
  • Median Gross Sales:  $391,667
  • High Gross Sales:  $487,978
  • Low Gross Sales:  $290,868
  • Average Gross Profit:  $262,329
  • Met or Exceeded Average Gross Profit:  12 (46.2%)
  • Median Gross Profit:  $259,013
  • High Gross Profit:  $324,462
  • Low Gross Profit:  $188,152

Bottom 75%

  • Number of Units in Category:  39
  • Average Gross Sales:  $435,835
  • Met or Exceeded Average Gross Sales:  20 (51.3%)
  • Median Gross Sales:  $446,838
  • High Gross Sales:  $541,703
  • Low Gross Sales:  $290,868
  • Average Gross Profit:  $291,579
  • Met or Exceeded Average Gross Profit:  21 (53.8%)
  • Median Gross Profit:  $297,079
  • High Gross Profit:  $366,047
  • Low Gross Profit:  $188,152

B. Corporate Units

Top 10%

  • Number of Units in Category:  1
  • Average Gross Sales:  $702,103
  • Met or Exceeded Average Gross Sales:  1 (100%)
  • Median Gross Sales:  $702,103
  • High Gross Sales:  $702,103
  • Low Gross Sales:  $702,103
  • Average Gross Profit:  $469,384
  • Met or Exceeded Average Gross Profit:  1 (100%)
  • Median Gross Profit:  $469,384
  • High Gross Profit:  $469,384
  • Low Gross Profit:  $469,384

Top 25%

  • Number of Units in Category:  2
  • Average Gross Sales:  $622,148
  • Met or Exceeded Average Gross Sales:  1 (50%)
  • Median Gross Sales:  $622,148
  • High Gross Sales:  $702,103
  • Low Gross Sales:  $542,193
  • Average Gross Profit:  $417,478
  • Met or Exceeded Average Gross Profit:  1 (50%)
  • Median Gross Profit:  $417,478
  • High Gross Profit:  $469,384
  • Low Gross Profit:  $365,573

Top 50%

  • Number of Units in Category:  4
  • Average Gross Sales:  $564,937
  • Met or Exceeded Average Gross Sales:  1 (25%)
  • Median Gross Sales:  $538,488
  • High Gross Sales:  $702,103
  • Low Gross Sales:  $482,670
  • Average Gross Profit:  $373,103
  • Met or Exceeded Average Gross Profit:  1 (25%)
  • Median Gross Profit:  $349,377
  • High Gross Profit:  $469,384
  • Low Gross Profit:  $324,275

Top 75%

  • Number of Units in Category:  6
  • Average Gross Sales:  $527,054
  • Met or Exceeded Average Gross Sales:  3 (50%)
  • Median Gross Sales:  $507,726
  • High Gross Sales:  $702,103
  • Low Gross Sales:  $459,931
  • Average Gross Profit:  $343,235
  • Met or Exceeded Average Gross Profit:  2 (33.3%)
  • Median Gross Profit:  $328,728
  • High Gross Profit:  $469,384
  • Low Gross Profit:  $276,027

Total

  • Number of Units in Category:  8
  • Average Gross Sales:  $489,268
  • Met or Exceeded Average Gross Sales:  3 (37.5%)
  • Median Gross Sales:  $471,301
  • High Gross Sales:  $702,103
  • Low Gross Sales:  $342,727
  • Average Gross Profit:  $315,096
  • Met or Exceeded Average Gross Profit:  4 (50%)
  • Median Gross Profit:  $307,624
  • High Gross Profit:  $469,384
  • Low Gross Profit:  $214,882

Bottom 10%

  • Number of Units in Category:  1
  • Average Gross Sales:  $342,727
  • Met or Exceeded Average Gross Sales:  1 (100%)
  • Median Gross Sales:  $342,727
  • High Gross Sales:  $342,727
  • Low Gross Sales:  $342,727
  • Average Gross Profit:  $214,882
  • Met or Exceeded Average Gross Profit:  1 (100%)
  • Median Gross Profit:  $214,882
  • High Gross Profit:  $214,882
  • Low Gross Profit:  $214,882

Bottom 25%

  • Number of Units in Category:  2
  • Average Gross Sales:  $375,907
  • Met or Exceeded Average Gross Sales:  1 (50%)
  • Median Gross Sales:  $375,907
  • High Gross Sales:  $409,087
  • Low Gross Sales:  $342,727
  • Average Gross Profit:  $230,680
  • Met or Exceeded Average Gross Profit:  1 (50%)
  • Median Gross Profit:  $230,680
  • High Gross Profit:  $246,478
  • Low Gross Profit:  $214,882

Bottom 50%

  • Number of Units in Category:  4
  • Average Gross Sales:  $413,598
  • Met or Exceeded Average Gross Sales:  2 (50%)
  • Median Gross Sales:  $425,867
  • High Gross Sales:  $442,647
  • Low Gross Sales:  $342,727
  • Average Gross Profit:  $257,090
  • Met or Exceeded Average Gross Profit:  2 (50%)
  • Median Gross Profit:  $261,253
  • High Gross Profit:  $290,972
  • Low Gross Profit:  $214,882

Bottom 75%

  • Number of Units in Category:  6
  • Average Gross Sales:  $444,974
  • Met or Exceeded Average Gross Sales:  4 (66.7%)
  • Median Gross Sales:  $451,289
  • High Gross Sales:  $532,783
  • Low Gross Sales:  $342,727
  • Average Gross Profit:  $280,969
  • Met or Exceeded Average Gross Profit:  3 (50%)
  • Median Gross Profit:  $283,500
  • High Gross Profit:  $333,181
  • Low Gross Profit:  $214,882
  • Due to the COVID-19 pandemic, Clean Juice made changes to the System and franchise model to adapt the business to changing consumer needs. Clean Juice entered into agreements with three major third-party delivery platforms, developed a new mobile app that allows customers to order ahead and pick-up orders, began offering curbside pick-up, and created a “buy and blend” program so that consumers could spend less time in the store but still purchase smoothie ingredients. The above changes have not increased Clean Juice’s franchisees’ operating expenses.
  • “Gross Sales,” as used in the above charts, means all revenue minus discounts. This is the amount that franchisees’ royalty fees and other payments under the Franchise Agreement are based on.
  • “Gross Profit,” as used in the above charts, means Gross Sales minus Cost of Goods Sold.
  • The financial performance statistics above are from established franchised and affiliate-owned stores that were in operation before or as of January 1, 2020.
  • These charts do not include stores that were transferred between owners during the year.
  • Some outlets have earned this amount. There is no assurance you’ll do as well. If you rely upon Clean Juice’s figures, you must accept the risk of not doing as well.

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