Bloomin’ Blinds: $598K Average Sales vs. $105K-$182K Franchise Cost

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

Section I – Estimated initial investment (franchise costs) for a Bloomin’ Blinds franchise, based on Item 7 of the company’s 2023 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Bloomin’ Blinds franchise, based on Items 5 and 6 of the company’s 2023 FDD

Section III – Number of franchised and company-owned Bloomin’ Blinds outlets at the start of the year and the end of the year for 2020, 2021, and 2022, based on Item 20 of the company’s 2023 FDD

Section IV – News updates on the Bloomin’ Blinds franchise opportunity

Section V – Presentation and analysis of Bloomin’ Blinds’ financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2023 FDD, including information on the:

• 2022 average, median, highest, and lowest total sales for the 44 Bloomin’ Blinds franchisees who were open and operating for the entire 2022 calendar year, by thirds (top third, middle third, bottom third)

• 2022 average total sales, cost of goods sold (contract labor, materials, equipment rental and tools), gross profit, certain marketing and operation expenses (local marketing, royalties, National Marketing Fund, payroll, office supplies, uniform, vehicle expense, bank charges and merchant fees, insurance, licenses and permits, rent and utilities, IT and telephone), and adjusted earnings for the 38 Bloomin’ Blinds franchisees who were open and operating for the entire 2022 calendar year and provided Bloomin’ Blinds with their summary income statements for the 2022 calendar year

• 2022 average, median, highest, and lowest gross profit margin for the 38 Bloomin’ Blinds franchisees who were open and operating for the entire 2022 calendar year and provided Bloomin’ Blinds with their summary income statements for the 2022 calendar year, by thirds (top third, middle third, bottom third)

• 2022 number of invoices, percentage of invoices, average and median value of invoices, and percentage of total sales by category of goods and services (blinds and shades, shutters, and repairs) for the 38 Bloomin’ Blinds franchisees who were open and operating for the entire 2022 calendar year and provided Bloomin’ Blinds with their summary income statements for the 2022 calendar year

• 2022 total number of appointments and financial transactions for the 38 Bloomin’ Blinds franchisees who were open and operating for the entire 2022 calendar year and provided Bloomin’ Blinds with their summary income statements for the 2022 calendar year

• 2022 average and median year-over-year total sales growth percentage for the 38 Bloomin’ Blinds franchisees who were open and operating for the entire 2021 calendar year and for the entire 2022 calendar year

• total amount of gross sales for all Bloomin’ Blinds franchised units open during the listed calendar year (2015-2022), regardless of whether that unit was open throughout that year

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

Section I – Bloomin’ Blinds Franchise Costs

• Bloomin’ Blinds franchise costs, based on Item 7 of the company’s 2023 FDD:

• Initial Franchise Fee:  $49,500
• Start-Up Expense Fee:  $30,000
• Rent, Utilities, and Leasehold Improvements:  $0 to $5,000
• Market Introduction Program:  $12,000
• Furniture, Fixtures, and Equipment:  $0 to $500
• Insurance:  $300 to $3,000
• Vehicle:  $700 to $55,000
• Office Expenses:  $500 to $1,000
• Inventory:  $0
• Licenses and Permits:  $0 to $1,500
• Professional Fees (Lawyer, Accountant, Etc.):  $400 to $1,500
• Travel and Meals for Initial Training:  $700 to $1,500
• Consumer Financing Subscription:  $1,600
• Additional Funds (for first 3 months):  $10,000 to $20,000
• Total Estimated Bloomin’ Blinds Franchise Costs:  $105,700 to $182,100

Section II – Bloomin’ Blinds’ Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Bloomin’ Blinds’ initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2023 FDD:

• Franchise Fee:  $49,500
• Royalty:  5.5% of your total sales; after month 6, minimum of $500 per month for each territory
• Marketing Fund Contribution:  you must contribute at least 2% of total sales or $300 per month (whichever is greater) for each territory
• Market Cooperative Contribution:  as determined by the cooperative; currently, none
• Local Advertising Requirement:  for each of your territories, you must spend at least 2% of total sales or $1,500 per month (whichever is greater) on marketing your business

Section III – Number of Franchised and Company-Owned Bloomin’ Blinds Outlets

Franchised

2020

• Outlets at the Start of the Year:  52
• Outlets at the End of the Year:  61
• Net Change:  +9

2021

• Outlets at the Start of the Year:  61
• Outlets at the End of the Year:  61
• Net Change:  0

2022

• Outlets at the Start of the Year:  61
• Outlets at the End of the Year:  88
• Net Change:  +27

Company-Owned

2020

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  9
• Net Change:  +9

2022

• Outlets at the Start of the Year:  9
• Outlets at the End of the Year:  9
• Net Change:  0

Section IV – News Updates on the Bloomin’ Blinds Franchise

• Bloomin’ Blinds Did Not Rank on Entrepreneur’s 2024 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Bloomin’ Blinds Franchise (Item 19, 2023 FDD)

• Except as indicated in Parts 2 through 6, the following tables show the historical reported information for the 44 franchisees (each an “Operational Franchise Outlet”) who operated a total number of 62 territories in the United States that were open and operating for the entire year January 1, 2022, to December 31, 2022 (the “2022 Reporting Period”).

• This Item 19 does not include information for 24 franchisees with a total of 49 franchised territories that were not open the entire 2022 Reporting Period (18 franchisees with a total of 42 territories which opened during 2022, and 6 franchisees with a total of 7 territories which permanently closed during 2022).

• For all of these tables, “Total Sales” means the total dollar amount of all sales generated through the Business for a given period, including, but not limited to, payment for any services or products sold by Franchisee, whether for cash or credit.

• Total Sales does not include (i) bona fide refunds to customers, (ii) sales taxes collected by Franchisee, (iii) sales of used equipment not in the ordinary course of business, or (iv) sales of prepaid cards or similar products.

• Bloomin’ Blinds prepared the information below from its information and from information provided by its franchisees. These reported results are not audited, and Bloomin’ Blinds has not independently verified data provided by its franchisees, although Bloomin’ Blinds believes it to be accurate.

Part 1 – Total Sales 2022 Reporting Period

• The following table shows the historical reported information for the average, median, low, and high annual Total Sales for the 44 Operational Franchise Outlets who were open and operating for the entire 2022 Reporting Period.

Top Third (15 Operational Franchise Outlets)

• Highest:  $1,951,547.98
• Lowest:  $589,068.10
• Average:  $1,057,741.22
• Median:  $956,145.27

Middle Third (14 Operational Franchise Outlets)

• Highest:  $581,625.08
• Lowest:  $351,719.53
• Average:  $466,658.36
• Median:  $479,955.92

Bottom Third (15 Operational Franchise Outlets)

• Highest:  $318,553.86
• Lowest:  $150,140.14
• Average:  $262,605.51
• Median:  $277,152.53

Part 2 – 2022 Summary Income Statement (Averages and Medians) for All Reporting Outlets

• The following is a summary income statement, both averages and medians, for the 38 Operational Franchise Outlets who provided Bloomin’ Blinds with their summary income statements for the 2022 Reporting Period (the “Reporting Outlets”).

• These outlets are all of the Operational Franchise Outlets except for Fargo, ND; Franklin, TN; San Jose, CA: St. Paul, MN; Dothan, AL; and N. Utah Co., UT.

Total Sales:  $642,644.30 (100%)

Cost of Goods Sold

• Contract Labor:  $4,285.69 (0.67%)
• Materials:  $316,923.65 (49.32%)
• Equipment Rental and Tools:  $3,165.74 (0.49%)
• Total Cost of Goods Sold:  $324,375.08 (50.48%)

Gross Profit:  $318,269.22 (49.52%)

Certain Marketing and Operation Expenses

• Local Marketing:  $31,996.75 (4.98%)
• Royalties:  $32,779.66 (5.10%)
• National Marketing Fund:  $12,239.80 (1.90%)
• Payroll:  $28,337.86 (4.41%)
• Office Supplies, Uniform:  $1,748.67 (0.27%)
• Vehicle Expense:  $14,465.83 (2.25%)
• Bank Charges and Merchant Fees:  $9,537.79 (1.48%)
• Insurance:  $5,166.45 (0.80%)
• Licenses and Permits:  $403.47 (0.06%)
• Rent and Utilities:  $4,617.39 (0.72%)
• IT and Telephone:  $4,958.04 (0.77%)
• Total for Certain Marketing and Operation Expenses:  $146,251.71 (22.76%)

Adjusted Earnings:  $172,017.51 (26.77%)

• “Gross Profits” equals Total Sales less Total Cost of Goods Sold.

• Adjusted Earnings for a particular Reporting Outlet is the Gross Profits minus the Total for Certain Marketing and Operation Expenses for that outlet. Among the “excluded expenses” are interest; consulting fees; federal, state, and local taxes; depreciation; amortization costs; and other miscellaneous costs that certain franchisees may have incurred; these items will reduce profits. This is not the same as “net income” or “net profit” of the business.

Part 3 – Gross Profit Margin 2022 Reporting Period

• The following table shows the historical reported information for the average, median, low, and high annual Gross Profit Margin for the 38 Reporting Outlets who were open and operating for the entire 2022 Reporting Period.

Top Third (12 Operational Franchise Outlets)

• Highest:  84.32%
• Lowest:  29.74%
• Average:  49.76%
• Median:  47.23%

Middle Third (13 Operational Franchise Outlets)

• Highest:  88.0%
• Lowest:  38.33%
• Average:  50.37%
• Median:  46.99%

Bottom Third (13 Operational Franchise Outlets)

• Highest:  71.50%
• Lowest:  33.90%
• Average:  48.52%
• Median:  46.77%

• For this table, “Gross Profit Margin” means the percentage of Total Sales remaining after reducing Total Cost of Goods Sold.

Part 4 – 2022 Reporting Period Sales by Category of Goods and Services

• The following table shows the historical reported information for the number of invoices, percentages of total invoices, average and median values of the invoices, and percentage of Total Sales for the 38 Reporting Outlets who were open and operating for the entire 2022 Reporting Period.

Blinds and Shades

• Number of Invoices:  8,216
• Percentage of Invoices:  55%
• Average Value of Invoices:  $2,267.36
• Median Value of Invoices:  $2,573.35
• Percentage of Total Sales:  73%

Shutters

• Number of Invoices:  2,520
• Percentage of Invoices:  17%
• Average Value of Invoices:  $3,535.43
• Median Value of Invoices:  $1,402.07
• Percentage of Total Sales:  24%

Repairs

• Number of Invoices:  4,263
• Percentage of Invoices:  28%
• Average Value of Invoices:  $183.05
• Median Value of Invoices:  $130.77
• Percentage of Total Sales:  3%

Totals

• Number of Invoices:  14,999
• Percentage of Invoices:  100%
• Percentage of Total Sales:  100%

Part 5 – 2022 Reporting Period Appointment Information

• The following table shows the historical reported information for the total number of appointments and financial transactions, as well as similar information for the 38 Reporting Outlets who were open and operating for the entire 2022 Reporting Period

• Number of Appointments:  21,047
• Number of Financial Transactions:  14,999
• Average Value of All Invoices:  $1,762.35
• Median Value of All Invoices:  $699.00

Part 6 – Total Sales and Year-Over-Year Total Sales for Operational Franchise Outlets Open Throughout 2021 Reporting Period and 2022 Reporting Period

• The following table shows the historical reported information for the annual Total Sales for the 38 Operational Franchise Outlets who were open and operating for the entire 2021 Reporting Period and for the entire 2022 Reporting Period.

• Average YOY% Growth:  21.33%
• Median YOY% Growth:  15%

• “YOY %” is the percentage by which the Franchise Outlet’s Total Sales for the 2022 Reporting Period exceeded (or was less than) its Total Sales for the 2021 Reporting Period.

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

Part 7 – Total Sales for All Franchised Outlets

• The following chart reflects the total amount of Gross Sales for all franchised units open during the listed calendar year, regardless of whether that unit was open throughout that year.

• 2015 (12 franchise territories at the end of the year):  $324,042
• 2016 (27 franchise territories at the end of the year):  $1,439,740
• 2017 (37 franchise territories at the end of the year):  $3,420,728
• 2018 (55 franchise territories at the end of the year):  $7,614,047
• 2019 (53 franchise territories at the end of the year):  $9,450,125
• 2020 (62 franchise territories at the end of the year):  $13,901,242
• 2021 (70 franchise territories at the end of the year):  $22,107,565
• 2022 (96 franchise territories at the end of the year):  $25,664,372

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