FranchiseVerdict
Pinot's Palette logo
FV-01958·MODERATEExcellent81FDD 2022

Pinot's Palette

OtherFranchising since 2010Website
Investment
$91K – $246K
31st pct Other
Avg revenue
50th pct Other
Royalty
6.0%
17th pct Other
Units
82
73rd pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $91K – $246K including a $23K franchise fee, 6.0% ongoing royalty.
  • 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 49 loans (below the industry average).
  • System contracting at -34.4% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Pinot’s Palette Franchise LLC
Parent company
Pinot Holdings LLC
Incorporated in
Texas
HQ
16949 N. Eldridge PKWY, Suite 770 #3044, Tomball, Texas 77377
Auditor
David P. Chaney, CPA, P.C.
Audited financials
Franchisor revenue
$1.8M
vs $2.0M prior year

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 Pinot's Palette unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $91K–$246K
Working capital
$
FDD reports $9K–$25K

Unlevered ROIC · per unit

61%

Above typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$113K
EBITDA margin
15.0%
Total invested
$186K
Payback
20 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate paint-and-sip wine studios where customers attend guided painting classes while consuming wine and beverages. Day-to-day operations include managing class scheduling, instructor coordination, inventory management (art supplies and beverages), customer service, marketing, and event hosting in a retail/studio environment.

CEO
Doug Van Tassell
Founded
2010
FDD year
2022
States available
25

Item 7 · what it costs

The Vitals

Total investment
$91K – $246K
All-in to open one unit
Liquid capital
$9K – $25K
Cash you must have on hand
Franchise fee
$23K
Royalty
6.0%
NAT Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
8.0%
vs 9–13% typical

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

Total units
82
Opened
1
Last reporting year
Closed
12
Turnover rate
14.6%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
-11.8%
Net unit change last year
3-yr CAGR
-34.4%
Compounded over last 3 years
2020
82-11
Franchised units
2021
93
Franchised units
2022
125
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 26 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 26 states
Not registered

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.

Total loans
49
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

61
Risk · 0-100
MODERATE61 / 100

Pinot's Palette shows meaningful contraction (−11.8% units), lacks financial transparency (no Item 19), and has going concern issues, creating moderate-to-high investment risk without adequate earnings validation.

Score breakdown · what drove the 61 / 100 rating

  1. 01MEDUnit count declined 11.8% YoY (82 units) — suggests system contraction or franchisee struggles
  2. 02MINORNo Item 19 financial disclosure — cannot validate average unit economics or profitability claims
  3. 03MEDRevenue and net income not disclosed — lack of transparency on actual franchisee earnings potential
  4. 04HIGHGoing Concern status is False — potential franchisor financial stability concerns
  5. 05MEDInvestment range of $91K-$246K is moderate-to-high with no disclosed ROI data to justify risk

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Texas

Item 11

Training & Operations

Classroom training
91 hrs
On-the-job training
75 hrs
POS system
Pinot Technology Suite (PTS)
Operating tech stack

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

90 numbers

Locked
(516) 390-••••
NY
(203) 588-••••
CT
(918) 794-••••
OK

One-time purchase · CSV download · Validation questions included

FDD download

Pinot's Palette · FDD (2022) PDF

Single-page checkout · instant download · CSV export of contacts available separately above