BeaverTails Franchise Cost, Revenue & Review 2026
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 and an ongoing 0.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $494K – $1.2M
- 76th pct Service Resta…
- Avg gross sales
- N/A
- 2 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 avg · 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 C (Average), verdict score 46/100 (higher is better).
- 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.
- 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
- $143K
- vs $114K 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 25% 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%
- unknown · 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% of gross sales |
| 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
BeaverTails did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one BeaverTails unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
17%
Below the 30–60% attractive-franchise band
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 averages
How BeaverTails Compares
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
- 0.0%
- 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
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 0
- Franchisor's next-year forecast
- 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)
No litigation required to be disclosed in Item 3.
Largest disclosed settlement: $300,000
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
- 06HIGHGoing concern status indicates potential financial instability at franchisor level
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 |
| 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
FDD download
BeaverTails · FDD (2025) PDF
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?
BeaverTails does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
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 C-grade franchise with a verdict score of 46 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. 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
Are you the franchisor?
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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.