Bottom line
- Total investment $153K – $286K including a $25K franchise fee, 7.5% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
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 5 Star Nutrition unit return on the cash you put in?
Unlevered ROIC · per unit
69%
Above typical band (30–60%)
Overview
About
5 Star Nutrition franchisees operate retail nutrition and supplement stores, selling protein powders, vitamins, pre-workout formulas, and dietary supplements. Day-to-day activities include point-of-sale transactions, product stocking, customer consultation on supplement selection, and membership/loyalty program management. Franchisees manage a protected territory with responsibility for local marketing and driving repeat customer traffic.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 20 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
20
states with franchisees (per FDD Item 12)
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
5 Star Nutrition presents HIGH RISK due to corporate going concern status, multiple product liability and regulatory violations, missing financial disclosure, and unverified unit economics in a shrinking/stagnant 56-unit system.
Score breakdown · what drove the 72 / 100 rating
- 01HIGHGoing concern status is FALSE, indicating potential financial instability or restructuring at corporate level
- 02HIGHMultiple serious litigations including TCPA class action, Prop 65 product safety violations, and federal misdemeanor plea for misbranding dietary ingredients—core product integrity issues
- 03MEDNo disclosed average revenue or net income (Item 19) prevents ROI validation; combined with 56 units of unknown growth trajectory, profitability is unverifiable
- 04MINORHigh royalty rate (7.5%) paired with $25,000 franchise fee and required territory investment creates ongoing cost burden with unclear sales benchmarks
- 05HIGHFederal criminal plea agreement (USA v. Defyned Brands) for misbranding suggests regulatory compliance failures affecting the supplement/nutrition category
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
2 numbers
One-time purchase · CSV download · Validation questions included
FDD download
5 Star Nutrition · FDD (2024) PDF