Questions & Answers
1. What is my initial investment?
Smoothie King franchises are available for the following estimated costs:
Single Unit Franchisees:
- The Franchisee has the right to develop one store.
- The franchise fee is $25,000.
Financial Investment Dynamics:
| Initial Investment | Low | High |
|---|---|---|
| Initial Franchise Fee | $20,000 | $25,000 |
| First Month's Rental Deposit | 3,000 | 9,000 |
| Computer Equipment / POS System | 8,500 | 12,000 |
| Grand Opening Marketing | 2,500 | 2,500 |
| Travel and Training Expenses | 1,200 | 4,000 |
| Insurance (First Year's Premium) | 1,500 | 5,000 |
| Other Paid Expenses | 1,000 | 2,500 |
| Start-up supplies, inventory | 5,500 | 14,200 |
| Equipment, Millwork, Fixtures/Signage and Graphics | 46,000 | 90,000 |
| Leasehold Improvements | 34,700 | 107,300 |
| Legal, Accounting & Organizational Costs | 500 | 4,000 |
| Miscellaneous Costs | 1,000 | 5,000 |
| Drive-thru | 0 | 24,000 |
| Additional Funds – 3 months | 15,000 | 25,000 |
| Total | $140,400 | $329,500 |
- Please understand that these are estimates only and will vary with location.
- Additional development costs may be incurred if you are engaged in developing multiple locations at the same time.
- The difference between low or high investment levels exists because of varying store sizes and real estate costs and expenses.
- Prepaid expenses include grand opening expenses, travel/training, legal/accounting, insurance, permits and deposits.
2. What type of locations fit into Smoothie King® site criteria?
Smoothie King franchises are generally 1000 to 1400 square feet; however, smaller or larger stores are an option. They are usually located in neighborhood and community strip centers, power centers, shopping malls, universities, airports, and downtown business district locations. The optimal area is typically densely populated, has significant traffic count, is highly visible and is located near numerous traffic generators.
3. Are there any continuing or ongoing fees after I pay the initial franchise fee?
Yes. You pay an ongoing royalty fee of 6% of weekly sales. Advertising expenses include reserving 2% of your weekly gross sales to be spent by you on local marketing. An additional advertising expense of 2% of weekly sales is required to be paid into the Smoothie King Advertising Fund.
4. How much money can I make from a Smoothie King® investment?
Since the actual results of individual franchises are based on factors that are not within the control of Smoothie King, we do not provide estimates of profits or revenues. However, after consulting with a Smoothie King Franchise Development Representative and reviewing the Franchise Disclosure Document (FDD), you will have the opportunity to contact our existing franchisees regarding their experiences.
5. Is experience in running a small business required?
While small business experience is helpful, it is not required. You will receive step-by-step training at Smoothie King Home Office in the important aspects of operating your business, including operational, marketing, nutritional and customer service classes. You also receive hands-on training behind the smoothie bar and on the sales floor. During training, you will receive and learn how to use the Smoothie King Manuals.
6. Do I have to run the store?
You are not required to run your store; however, the most successful stores are those operated by the owner(s) or a seasoned retail manager.
7. Does Smoothie King make money on any products or supplies distributed to the stores?
No, Smoothie King does not mark up any goods, items, or supplies distributed to the stores. We believe that by helping our franchisees reduce their cost, they will in turn be more profitable and open more stores.
8. How much training do I receive?
20 days split up into 3 segments. 1 day orientation (pre-store opening), 12 consecutive days management training (corporate training facility), 7 days on-site (4 days prior, 3 days post) prior to opening.
9. Can I open multiple stores?
Yes, in fact, of our 299 franchisees, 95% own 1-3 stores, 4% own 4-6 stores, 1% own 7-10 stores and <1% own 10+ stores, with our largest franchisee currently operating 13 stores.
10. What are the hours of operation?
Hours of operation are Monday to Friday 7am - 9pm, Saturday 9am - 9pm, and Sunday 11am - 7pm.
11. Do smoothies sell in cold climates?
Yes. While you may see seasonal changes, with constant local marketing our loyal guests continue to visit because of the functionality of our smoothies and superior guest experiences.
