Bottom line
- Total investment $354K – $798K including a $50K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.1M/year (median $977K). Estimated payback in 3.8 years.
- Rated STRONG with a risk score of 42/100. SBA loan default rate of 0.0% across 138 loans (below the industry average).
- System growing at 44.8% CAGR over 3 years with 98 total units — strong expansion trajectory.
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 Clean Eatz unit return on the cash you put in?
Unlevered ROIC · per unit
27%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Clean Eatz units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.7M
on $8.7M purchase
Total debt
$7.0M
SBA $4.3M + senior + seller note
Overview
About
Clean Eatz franchisees operate health-focused food preparation and meal delivery concepts, preparing fresh, macro-balanced meals for fitness-conscious consumers. Day-to-day operations involve food sourcing, meal prep/cooking, packaging, customer order fulfillment, and local marketing. Revenue typically comes from direct consumer sales, corporate wellness programs, and delivery partnerships.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Clean Eatz presents moderate-to-cautious risk: unverified revenue claims, modest growth trajectory, and tight margins require thorough validation with existing franchisees before committing $350K–$800K.
Score breakdown · what drove the 42 / 100 rating
- 01MEDNo Item 19 (Financial Performance Representations) disclosed — cannot independently verify $1.09M average revenue claim
- 02MINORModest unit growth of 12.8% YoY suggests market saturation or slower-than-expected expansion momentum
- 03MINORHigh investment range ($353K–$798K) with 6% royalty creates breakeven pressure on units generating below $1.09M
- 04MEDNet income margin of ~14% ($153K on $1.09M) leaves limited cushion for underperforming locations or economic downturns
- 05HIGHGoing concern status is 'False' (not explicitly stated as a going concern issue), but lack of transparency on franchisor financial health is concerning
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
92 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Clean Eatz · FDD (2024) PDF