Family FareFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Family Fare franchise requires a total initial investment of $30K – $1.2M, including a $10K franchise fee and an ongoing 0.6% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $30K – $1.2M
- 1st pct Retail
- Avg gross sales
- N/A
- 21st pct Retail
- Royalty
- 0.6%
- 0th pct Retail
- Units
- 104
- 27th pct Retail
- SBA default
- N/A
Quick verdict · Retail · color = vs category peers
Green = >15% above Retail avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 104 to 102 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $30K – $1.2M including a $10K franchise fee, 0.6% ongoing royalty.
- Item 19 discloses "Historical transaction prices paid by transferees" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict A (Top Quintile) with a risk score of 36/100.
- Item 19 reports "Historical transaction prices paid by transferees" instead of annual gross sales. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- FAMILY FARE, LLC
- Ultimate parent
- M. L. Barnes, Jr. (69.7% owner); BFP LIMITED LIABILITY COMPANY (30.3% owner)
- CEO title
- Chief Executive Officer
- Marvin Barnes
- CEO experience
- 2003 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- NC
- HQ
- 4220 Neal Road, Durham, North Carolina 27705
- Auditor
- B. Dane Byers, CPA, PLLC
- Audited financials
- Franchisor revenue
- $21.7M
- vs $22.9M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Family Fare franchisees operate retail grocery or convenience store locations serving neighborhood customers. Day-to-day operations include inventory management, customer service, staff scheduling, and local marketing while remitting 56% of gross profit to the franchisor.
- CEO
- Marvin Barnes
- Headquarters
- NC
- Founded
- 2003
- FDD year
- 2025
- States available
- 2
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $10K | $10K |
| Working capital (3–6 mo) | $15K | $60K |
| Equipment, build-out, other | $5K | $1.1M |
| Total initial investment | $30K | $1.2M |
Source: Family Fare 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $30K – $1.2M
- Better than avg vs category
- Liquid capital req'd
- $15K – $60K
- Better than avg vs category
- Franchise fee
- $10K – $1.0M
- Better than avg vs category
- Royalty
- 0.6%
- percentage_of_gross · typical 6–8%
- Ad fund
- -n/d
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 0.6% of gross sales |
| Transfer fee | $31K |
| Renewal fee | $0 |
Financial Performance
This brand's FDD disclosed "Historical transaction prices paid by transferees" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Retail averages
How Family Fare Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 104
- Opened
- 5
- Last reporting year
- Closed
- 5
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 4.8%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +2.0%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 13
- Projected new
- 2
- Franchisor's next-year forecast
- Transfer rate
- 12.5%
- Owners selling to other franchisees
- Ceased ops
- 4.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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.
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.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Family Fare presents high investment risk due to going concern status, predatory royalty structure, litigation history, unproven profitability, and lack of territory protection.
Litigation (Item 3)
Amro Elsayed & Lola Salamah v. Family Fare, LLC et al., 18 CV 1045 (U.S. District Court Middle District North Carolina). Concluded action. Plaintiffs alleged Fair Labor Standards Act violations, discrimination, wrongful termination, breach of contract, and wrongful eviction related to franchisee termination. Court granted franchisor's motions dismissing majority of claims. After two-day bench trial on February 2, 2021, court granted franchisor's Motion for Judgment on Partial Findings dismissing all remaining claims. Final judgment entered February 9, 2021.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · B. Dane Byers, CPA, PLLC
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 36 / 100 rating
- 01HIGHGoing concern issue (False) indicates potential financial instability at franchisor level
- 02MINORExtremely high royalty rate of 56% of gross profit leaves minimal margin for franchisee profitability
- 03MINORNo revenue or net income disclosure prevents accurate ROI assessment
- 04MINORTwo lawsuits involving discrimination and misrepresentation claims suggest franchisor-franchisee relationship problems
- 05MINOR104 units with unknown growth trajectory suggests possible stagnation or contraction
- 06MINORNo protected territory creates direct competition between franchisees
- 07MINORWide investment range ($30K-$1.17M) indicates inconsistent unit economics
- 08MINOR5-year term is shorter than industry standard, creating renewal uncertainty
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 3 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 60 days |
| Transfer requires consent | Yes |
| Termination notice | 3 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | North Carolina |
| Litigation count | 2 |
View Item 3 litigation summary
Amro Elsayed & Lola Salamah v. Family Fare, LLC et al., 18 CV 1045 (U.S. District Court Middle District North Carolina). Concluded action. Plaintiffs alleged Fair Labor Standards Act violations, discrimination, wrongful termination, breach of contract, and wrongful eviction related to franchisee termination. Court granted franchisor's motions dismissing majority of claims. After two-day bench trial on February 2, 2021, court granted franchisor's Motion for Judgment on Partial Findings dismissing all remaining claims. Final judgment entered February 9, 2021.
Items 10, 11
Training & Operations
- Classroom training
- 10 hrs
- On-the-job training
- 51 hrs
- Training location
- Service Collaboration and Support Center in Durham, NC or designated location and at the store
- Ongoing training
- Required
- Field support
- 14 hrs/yr
- On-site visits per year
- POS system
- PDI software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: PDI software
Item 20 · call current owners
Franchisee Contacts
22 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Family Fare · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Family Fare franchise?
The total investment to open a Family Fare franchise ranges from $30K – $1.2M, with an initial franchise fee of $10K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Family Fare franchise owners earn?
Family Fare 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 Family Fare's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Family Fare (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 Family Fare franchise locations are there?
As of their most recent FDD filing, Family Fare has 104 total units in the United States, including 104 franchised units and 0 company-owned units. 5 new units were opened in the latest reporting year.
Is Family Fare a good franchise to buy?
FranchiseVerdict rates Family Fare as a A-grade franchise with a risk score of 36 out of 100, 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 Family Fare, you can request corrections or provide updated information.
Claim this brandOther Retail franchises
Compare similar franchise opportunities in the Retail 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.