BeaverTails Franchise Cost, Revenue & Review 2026
- Investment
- $494K – $1.2M
- Disclosed sales
- partial, no system average
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
BeaverTails is a quick-service franchise serving its iconic Canadian fried-dough pastries and sweet snacks. Franchisees run the shops and kiosks, managing production, staffing, and counter service.
FranchiseVerdict summary · 2026
A BeaverTails franchise requires a total initial investment of $494K – $1.2M, including a $35K franchise fee. The 2025 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $494K – $1.2M
- 75th pct Service Resta…
- Avg gross sales
- N/A
- Projection2 outlets
- Royalty
- 0.0%
- 0th pct Service Resta…
- Units
- 2
- 9th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $494K – $1.2M including a $35K franchise fee, 0.0% ongoing royalty.
- RETURNSItem 19 reports other rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict B (Above average), verdict score 46/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 0 closed) (Item 20).
- DATAItem 19 reports other rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- BeaverTails USA Inc.
- Parent company
- Les Entreprises Twin25 Inc.; 1737973 Ontario Inc.; 9005-0790 Quebec Inc.
- FDD Item 1, page 8 of the 2025 FDD
- CEO title
- President & Chief Executive Officer
- Pino Di Ioia
- CEO experience
- 2014 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- Delaware
- HQ
- 106 – 3700 Rue St-Patrick, Montreal, Quebec, Canada H4E 1A2
- Auditor
- CPAmerica / Crowe Global member firm (St. Louis Park, Minnesota)
- Audited financials
- Franchisor revenue
- $114K
- vs $143K prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Overview
About
- CEO
- Pino Di Ioia
- Headquarters
- Quebec (Montreal, Canada)
- Founded
- 2014
- FDD year
- 2025
- States available
- 2
Can you afford it, and what does the money buy?
Entry cost runs 70% above the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown26 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $35K | $35K | |
| Lease Deposit, Utility Deposit and Rent - 3 months | $46K | $63K | |
| Design | $12K | $30K | |
| Engineering, Architect Plans and Development/Building Permits | $5K | $30K | |
| Construction / Build Out of Store/Premises | $150K | $400K | |
| Project Manager Fee | $8K | $15K | |
| Ventilation - HVAC and Kitchen Exhaust Ventilation System | $25K | $105K | |
| Millwork | $35K | $75K | |
| Storage room/area build out | $2K | $5K | |
| Offsite storage, if necessary | $0 | $35K | |
| Signage | $12K | $30K | |
| Equipment | $75K | $150K | |
| Equipment for Gelato/Ice Cream Program | $19K | $25K | |
| Small wares | $3K | $4K | |
| Stainless Steel Countertops | $4K | $8K | |
| Furniture (Interior only) | $2K | $6K | |
| Digital Menus | $11K | $15K | |
| Walk-in-Freezer, if applicable | $0 | $15K | |
| POS System | $6K | $10K | |
| Opening Inventory | $8K | $25K | |
| Total initial investment | $494K | $1.2M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $494K – $1.2M
- Bottom third — review vs category
- Liquid capital req'd
- $15K – $20K
- Top 40% of category vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 0.0%
- typical 6–8%
- Ad fund
- Flat fee per case of Units (CAD$43.14 / USD$31.08 per ~19…
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 0.0% |
| Technology fee | $60 |
| Training fee | $950 |
| Transfer fee | $18K |
| Renewal fee | $9K |
| Inventory (initial) | $8K – $25K |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for BeaverTails is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one BeaverTails unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
Item 19 reports other rather than annual gross sales, so unit revenue is not directly comparable. We omit it from rankings.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
0.0% royalty — lower than the category average.
Disclosure
Item 19 reports other rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
Net unit growth roughly flat at 0.0%.
Multi-unit rate
Only 1% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants medians
How BeaverTails Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- N/A
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Continuity rate
- 100.0%
- Units that stayed open
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 2 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.
2
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
BeaverTails is an extremely early-stage franchise with a microscopic unit base, opaque unit economics, and a franchisor revenue model that may not align with franchisee success.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation required to be disclosed in Item 3.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CPAmerica / Crowe Global member firm (St. Louis Park, Minnesota)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 46 / 100 verdict
- 01MINOROnly 2 existing units — critically small system with no demonstrated scalability or proven model
- 02MINORNo average revenue or net income disclosure — inability to assess unit economics or ROI potential
- 03MINOR0% royalty model dependent on product rebates/markups — franchisor incentives misaligned with franchisee profitability
- 04MINORNo growth trajectory provided — 2 units may be stagnant or recently launched with unproven demand
- 05MED5-year term is shorter than industry standard — higher renewal risk and limited payback window
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 200,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 3 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 3 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Minneapolis, Minnesota |
| Jury trial waiver | Yes |
| Governing law | State where the Store is located |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed in Item 3.
Items 10, 11
Training & Operations
- Classroom training
- 18 hrs
- On-the-job training
- 77 hrs
- Training location
- Montreal, Quebec (head office and Greater Montreal Area)
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- POS system
- Panasonic / Clearview
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Panasonic / Clearview
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a BeaverTails franchise?
The total investment to open a BeaverTails franchise ranges from $494K – $1.2M, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do BeaverTails franchise owners earn?
Item 19 of the BeaverTails FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns BeaverTails?
BeaverTails is franchised by BeaverTails USA Inc.. Its parent company is Les Entreprises Twin25 Inc.; 1737973 Ontario Inc.; 9005-0790 Quebec Inc.. Source: FDD Item 1, 2025 filing.
What is Item 19 in the BeaverTails FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the BeaverTails FDD and qualifies whose outlets they describe.
What is BeaverTails's franchise failure rate?
SBA 7(a) loan charge-off data is not available for BeaverTails (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many BeaverTails franchise locations are there?
As of their most recent FDD filing, BeaverTails has 2 total units in the United States, including 2 franchised units and 0 company-owned units.
Is BeaverTails a good franchise to buy?
FranchiseVerdict rates BeaverTails as a B-grade franchise with a verdict score of 46 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.