Blue Martini Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Blue Martini is an upscale cocktail lounge franchise serving craft cocktails, small plates, and live entertainment. Franchisees run the lounges, managing bar service, kitchen, staffing, and nightlife programming.
FranchiseVerdict summary · 2026
A Blue Martini franchise requires a total initial investment of $3.4M – $13.0M, including a $50K franchise fee and an ongoing 5.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $3.4M – $13.0M
- 40th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 8
- 11th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Full-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 $3.4M – $13.0M including a $50K franchise fee, 5.0% ongoing royalty.
- RETURNSNo Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- RISKVerdict B (Above average), verdict score 53/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- Blue Martini Franchising, LLC
- Ultimate parent
- None
- CEO title
- Chief Executive Officer and Manager
- Mark Vasu
- Incorporated in
- FL
- HQ
- 2465 Mercer Avenue, Suite 302, West Palm Beach, Florida 33401
- Auditor
- Walker Ostrowski Williams
- Audited financials
- Franchisor revenue
- $237K
- vs $266K prior year
Overview
About
- CEO
- Mark Vasu
- Headquarters
- FL
- Founded
- 2000
- FDD year
- 2025
- States available
- 3
Can you afford it, and what does the money buy?
Entry cost runs 602% above the typical full-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown14 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $50K | $50K | |
| Grand Opening Advertising | $15K | $30K | |
| Training Expenses | $35K | $75K | |
| Construction and Leasehold Improvements | $2.5M | $8.5M | |
| Equipment, Furniture, Fixtures, and Signage | $450K | $1.8M | |
| Point of Sale Systems, Computers, and Telecommunications | $10K | $20K | |
| Website/SEO Fee | $500 | $500 | |
| Professional Fees - Architect | $150K | $600K | |
| Professional Fees - Legal and Accounting | $15K | $25K | |
| Inventory and Supplies to Begin Operating | $50K | $120K | |
| Insurance Premiums | $40K | $300K | |
| Liquor Licenses | $10K | $1.4M | |
| Other Licenses, Permits and Deposits | $15K | $20K | |
| Additional Funds - 3 Months | $50K | $100K | |
| Total initial investment | $3.4M | $13.0M |
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
- $3.4M – $13.0M
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $100K
- Top 40% of category vs category
- Franchise fee
- $50K – $50K
- Top 40% of category vs category
- Royalty
- 5.0%
- percentage · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $500 |
| Training fee | $35K |
| Transfer fee | $15K |
| Renewal fee | $3K |
| Inventory (initial) | $50K – $120K |
| Total fee load | 6.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Blue Martini 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 Blue Martini unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
1%
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
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 6.0% — below the Full-Service Restaurants average of 7.6%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
Net unit growth of +50.0% over 3 years (0 opened, 0 closed).
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 Full-Service Restaurants averages
How Blue Martini Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 8
- 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
- 5
- Corporate units in the system
- % franchised
- 38%
- vs corporate-owned
- Net growth (3-yr)
- +50.0%
- Net unit change over 3 years
- 3-yr CAGR
- +50.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 1
- Franchisor's next-year forecast
- Continuity rate
- 100.0%
- Units that stayed open
- Ceased ops
- 12.5%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 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).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $5.0M
- Median loan
- $5.0M
- 50th percentile
- Charge-off rate
- N/A
- limited sample (1 loan) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Blue Martini presents high risk: a micro-system (8 units) with active wrongful death litigation, zero financial transparency, massive capital requirements, and minimal operational scale to support franchisees.
Litigation (Item 3)
One concluded action: Farmer v. Blue Martini, Inc. et al. (Fulton County, GA, filed April 21, 2023) — wrongful death claim alleging franchisee served alcohol to intoxicated patron who caused death; voluntarily dismissed without prejudice December 6, 2024; franchisor anticipates possible refiling.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Walker Ostrowski Williams
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 53 / 100 verdict
- 01HIGHActive litigation involving wrongful death and alcohol service liability with anticipated refiling in June 2025 creates significant legal and insurance exposure
- 02MEDOnly 8 units system-wide with no disclosed growth trajectory suggests minimal scale, limited support infrastructure, and potential system viability concerns
- 03MEDNo average revenue or net income disclosure (missing Item 19) prevents financial performance validation and suggests weak unit economics
- 04MEDHigh investment range ($3.39M–$12.99M) combined with undisclosed profitability creates severe ROI uncertainty
- 05HIGHPending litigation could trigger insurance rate increases, policy cancellations, or franchisor indemnification obligations affecting franchisee margins
- 06MINORAlcohol service liability in 8-unit system indicates inadequate risk management protocols and compliance training infrastructure
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Territory type | exclusive |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 0.3 mi |
| Online sales rights | Restricted |
| Franchisor can compete | No |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Palm Beach County, Florida |
| Jury trial waiver | Yes |
| Governing law | FL |
| Litigation count | 1 |
View Item 3 litigation summary
One concluded action: Farmer v. Blue Martini, Inc. et al. (Fulton County, GA, filed April 21, 2023) — wrongful death claim alleging franchisee served alcohol to intoxicated patron who caused death; voluntarily dismissed without prejudice December 6, 2024; franchisor anticipates possible refiling.
Items 10, 11
Training & Operations
- Classroom training
- 31 hrs
- On-the-job training
- 224 hrs
- Training location
- South Florida
- Ongoing training
- Optional
- Time to open
- 18 mo
- From signing to launch
- Site selection
- both
- Franchisor financing
- Not offered
- Item 10
- POS system
- POS System (touch screen terminals and supporting package software)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: POS System (touch screen terminals and supporting package software)
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Blue Martini · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Blue Martini franchise?
The total investment to open a Blue Martini franchise ranges from $3.4M – $13.0M, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Blue Martini franchise owners earn?
Blue Martini 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 Blue Martini 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 Blue Martini FDD and qualifies whose outlets they describe.
What is Blue Martini's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Blue Martini (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 Blue Martini franchise locations are there?
As of their most recent FDD filing, Blue Martini has 8 total units in the United States, including 3 franchised units and 5 company-owned units.
Is Blue Martini a good franchise to buy?
FranchiseVerdict rates Blue Martini as a B-grade franchise with a verdict score of 53 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?
If you represent Blue Martini, you can request corrections or provide updated information.
Other Full-Service Restaurants franchises
Compare similar franchise opportunities in the Full-Service Restaurants category
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.