FranchiseVerdict
1-800-Flowers.com logo
FV-00005·MODERATEExcellent81

1-800-Flowers.com

RetailFranchising since 2002Website
Investment
$259K – $933K
65th pct Retail
Avg revenue
53rd pct Retail
Royalty
6.0%
41st pct Retail
Units
51
46th pct Retail
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $259K – $933K including a $30K franchise fee, 6.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 64/100. SBA loan default rate of 0.0% across 6 loans (below the industry average).
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
1-800-FLOWERS.COM FRANCHISE CO., INC.
Parent company
1-800-Flowers.com, Inc.
Incorporated in
Delaware
HQ
Two Jericho Plaza, Suite 200, Jericho, New York 11753
Auditor
EisnerAmper LLP
Audited financials
Franchisor revenue
$1.3M
vs $1.2M prior year
⚠ Going-concern note
Disclosed in FDD 2024
Status as of 2024; may have been resolved in a later filing we don't yet have.

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one 1-800-Flowers.com unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: retail
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $259K–$933K
Working capital
$
FDD reports $60K–$150K

Unlevered ROIC · per unit

6%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$45K
EBITDA margin
6.0%
Total invested
$701K
Payback
187 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

1-800-Flowers franchisees operate retail or online flower and gift delivery storefronts, managing customer orders for same-day or scheduled floral arrangements, plants, fruit bouquets, and gift baskets. Daily operations include arranging flowers, managing order fulfillment, coordinating logistics with delivery partners, and handling customer service—with revenue dependent on brand marketing, seasonal demand, and local market saturation.

CEO
James F. McCann
Founded
2000
FDD year
2024
States available
15

Item 7 · what it costs

The Vitals

Total investment
$259K – $933K
All-in to open one unit
Liquid capital
$60K – $150K
Cash you must have on hand
Franchise fee
$30K
Royalty
6.0%
Gross Sales · typical 6–8%
Ad fund
3.0%
typical 3–5%
Total fee load
9.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
51
Opened
2
Last reporting year
Closed
5
Turnover rate
9.8%
Company-owned
1
Corporate units in the system
% franchised
98%
vs corporate-owned
Net growth (yr3)
-5.7%
Net unit change last year
3-yr CAGR
-10.7%
Compounded over last 3 years
2022
50-3
Franchised units
2023
53
Franchised units
2024
56
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 14 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 14 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
6
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

64
Risk · 0-100
MODERATE64 / 100

Declining franchise system with unresolved litigation history, non-disclosed financials, high investment risk, and territorial vulnerability creates a CAUTION-to-HIGH RISK profile unsuitable for most investors.

Score breakdown · what drove the 64 / 100 rating

  1. 01MINORUnit count declining 5.7% YoY (51 units total) indicates shrinking franchise system with potential viability concerns
  2. 02MINORNo Item 19 financial disclosure (average revenue/net income not provided) prevents accurate ROI assessment and suggests weak performance data
  3. 03HIGHHistory of material litigation: 2016 class-action settlement for $425,000 over misrepresentations regarding fruit bouquets program signals product/service delivery issues and franchisor credibility problems
  4. 04MINORNo protected territory creates direct competition risk among franchisees and enables brand cannibalization
  5. 05MINORHigh investment range ($258,500-$932,500) with declining unit count suggests poor unit economics and franchisee struggles to recoup capital
  6. 06MINOR6% royalty on 'Adjusted Gross Sales' (language suggests deductions) combined with no revenue disclosure creates transparency and earnings potential concerns

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
2
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
New York

Item 11

Training & Operations

Classroom training
40 hrs
On-the-job training
104 hrs
POS system
BloomNet Business Management System (BloomNet BMS) and Visual Ticket POS System
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

76 numbers

Locked
(630) 892-••••
IL
(561) 369-••••
FL
(517) 241-••••
NJ

One-time purchase · CSV download · Validation questions included

FDD download

1-800-Flowers.com · FDD (2024) PDF

Single-page checkout · instant download · CSV export of contacts available separately above