HEALTH MART Drugstore
Bottom line
- Total investment $2K – $799K including a $0 franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 179 loans (below the industry average).
- No 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
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 HEALTH MART Drugstore unit return on the cash you put in?
Unlevered ROIC · per unit
29%
Below typical band (30–60%)
Overview
About
HEALTH MART franchisees operate independent drugstores that fill prescriptions, dispense over-the-counter medications, and sell health/wellness products. Day-to-day operations include managing pharmacy staff, processing insurance claims, maintaining inventory, and serving retail customers—all while operating under a brand owned by McKesson Corporation, a major controlled substance distributor currently settling massive litigation.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
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 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
HEALTH MART operates a declining franchise system under a parent company embroiled in multi-billion dollar opioid litigation, with undisclosed financials, unprotected territory, and unclear unit economics making risk assessment impossible.
Score breakdown · what drove the 61 / 100 rating
- 01HIGHParent company (McKesson) facing billions in opioid litigation settlements with 400+ related cases creating systemic reputational and financial risk
- 02MINORFranchise system declining 2.4% YoY with 4,544 units, indicating contracting market rather than growth opportunity
- 03MEDNo Item 19 financial disclosure (Avg Revenue and Net Income not disclosed) prevents informed ROI assessment on $2,470-$798,870 investment range
- 04MINORUnprotected territory creates direct competition risk from other HEALTH MART franchisees in same market
- 05MINORExtremely low franchise fee ($0) combined with $390/month royalty suggests franchisor prioritizes volume/royalties over franchisee profitability
- 06MINORUnknown franchise term creates uncertainty around renewal, buyout, and long-term planning
- 07MINORWide investment range ($2,470-$798,870) suggests highly variable unit economics with unclear cost drivers
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
99 numbers
One-time purchase · CSV download · Validation questions included
FDD download
HEALTH MART Drugstore · FDD (2024) PDF