Smoothie Factory / Smoothie Factory+Kitchen Franchise Cost, Revenue & Review 2026
- Investment
- $279K – $475K
- Disclosed sales
- not disclosed
- SBA charge-off
- 40.5%
- on 43 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Smoothie Factory is a quick-service franchise serving made-to-order smoothies, juices, and healthy fare. Franchisees run the shops, managing fresh prep, staffing, and counter service.
FranchiseVerdict summary · 2026
A Smoothie Factory / Smoothie Factory+Kitchen franchise requires a total initial investment of $279K – $475K, including a $30K franchise fee and an ongoing 6.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 40.5% charge-off rate across 43 loans[1]. FranchiseVerdict grade: F (Weakest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $279K – $475K
- 43rd pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 48th pct Service Resta…
- Units
- 7
- 30th pct Service Resta…
- SBA charge-off
- 40.5%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · 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 $279K – $475K including a $30K franchise fee, 6.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict F (Weakest tier), verdict score 5/100 (higher is better). SBA loan charge-off rate of 40.5% across 43 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHNegative, pipeline stalled: 7 agreements signed but not yet open against 7 open outlets (Item 20).
- FLAG5 units terminated last reporting year (71.4% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Smoothie Holdings FC, LLC
- Parent company
- Smoothie Holdings, LLC
- FDD Item 1, page 9 of the 2025 FDD
- Predecessor
- The Smoothie Factory, Inc. (SFI)
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Sherif Mityas
- Incorporated in
- Texas
- HQ
- 14860 Montfort Drive, Suite 150 PMB 34, Dallas, Texas 75254
- Auditor
- A&G LLP
- Audited financials
- Franchisor revenue
- $190K
- vs $183K prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Same owner · FDD Item 1, page 9
1 other brand on this site name Smoothie Holdings, LLC as parent or ultimate parent in their own FDD.
Grouped by the owner's name as each filing prints it (this page: the 2025 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Sherif Mityas
- Headquarters
- TX
- Founded
- 2013
- FDD year
- 2025
- States available
- 2
Can you afford it, and what does the money buy?
Entry cost runs 22% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown14 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $30K | $30K | |
| Lease Deposits & Rent | $4K | $9K | |
| Architect; Engineer; Drawings | $8K | $15K | |
| Permits | $2K | $3K | |
| Interior Improvements, General Contractor; Electrical; Millwork; Tile, Plumbing, HVAC | $144K | $234K | |
| Signage Package | $8K | $12K | |
| Smallwares; Furniture; Interior Graphics; Fixtures; Digital Menu Boards; Equipment | $53K | $110K | |
| POS System | $5K | $10K | |
| Inventory; Uniforms | $5K | $11K | |
| Pre-opening training expenses | $3K | $8K | |
| New Store Marketing Plan Fee | $5K | $5K | |
| Insurance - Liability & Workers compensation (initial deposit) | $1K | $2K | |
| Professional Fees | $2K | $6K | |
| Additional Funds (3 months) | $10K | $20K | |
| Total initial investment | $279K | $475K |
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
- $279K – $475K
- Middle of category vs category
- Liquid capital req'd
- $10K – $20K
- Top 40% of category vs category
- Franchise fee
- $30K – $30K
- Top 40% of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $2K |
| Transfer fee | $10K |
| Renewal fee | $8K |
| Inventory (initial) | $5K – $11K |
| Total fee load | 9.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Smoothie Factory / Smoothie Factory+Kitchen makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Smoothie Factory / Smoothie Factory+Kitchen unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 9.0% — above the Quick-Service Restaurants median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System shrank 66.7% over 3 years — 7 closures. Ask existing franchisees about local market conditions.
Multi-unit rate
Only 1% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
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 Quick-Service Restaurants medians
How Smoothie Factory / Smoothie Factory+Kitchen Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 7
- Opened
- 0
- Last reporting year
- Closed
- 7
- Terminated
- 5
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 2
- Term expired, not renewed (per Item 20)
- Turnover rate
- 100.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (3-yr)
- -66.7%
- Net unit change over 3 years
- 3-yr CAGR
- -66.7%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 5
- Not renewed
- 2
- Signed, not yet open
- 7
- 1.00 per open outlet · Item 20 Table 5
- Projected new
- 3
- Franchisor's next-year forecast
- Transfer rate
- 14.3%
- Owners selling to other franchisees
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 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.
Where the owners are · Item 20 owner list
20 current owners across 9 states.
- TX 11
- AZ 2
- CA 1
- CT 1
- IL 1
- MI 1
- NJ 1
- NY 1
- TN 1
Counts only, from the list the franchisor prints in Item 20; 1 entries carry no state. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 43
- Loan volume
- $5.7M
- Median loan
- $133K
- average
- Charge-off rate
- 40.5%
- on 43 loans · rates vary by category · see methodology
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
- 17
- Defaults
- 15
Vintage analysis
Smoothie Factory / Smoothie Factory+Kitchen charge-off rate by loan vintage
Top lenders financing Smoothie Factory / Smoothie Factory+Kitchen franchisees
Showing 3 of 17 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Smoothie Factory / Smoothie Factory+Kitchen from SBA 7(a) FOIA data.
Top SBA lenders
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | SouthState Bank, National Association | 9 | $1.3M | 57.1% |
| 2 | Bank of the West | 6 | $552K | 40.0% |
| 3 | Wells Fargo Bank National Association | 6 | $675K | 83.3% |
| 4 | JPMorgan Chase Bank, National Association | 6 | $491K | 33.3% |
| 5 | First Western SBLC, Inc | 4 | $565K | 50.0% |
| 6 | LegacyTexas Bank | 1 | $49K | 0.0% |
| 7 | Popular Bank | 1 | $170K | 0.0% |
| 8 | Bank of America, National Association | 1 | $142K | 0.0% |
| 9 | Citizens National Bank of Texas | 1 | $150K | 0.0% |
| 10 | Prosperity Bank | 1 | $165K | 0.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TXTexas | 40 | 15 | 42.9% |
| COColorado | 1 | 0 | 0.0% |
| MOMissouri | 1 | 0 | 0.0% |
| NJNew Jersey | 1 | 0 | -- |
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
A 40.5% charge-off rate means roughly 1 in 2 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 40.5% — 153% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Subject: the franchisor is a named party (plaintiff).
Three concluded breach of contract actions: (1) Smoothie Holdings FC, LLC v. Farhaj Haq and Wahaj Haq (settled April 2023, $9,000 payment); (2) Smoothie Holdings FC, LLC v. Extremeline Nutrition, LLC et al. (settled May 2024, permanent injunction); (3) Smoothie Holdings FC, LLC v. Fortune Ajebon, LLC et al. (settled December 2024, $4,500 payment plus injunction).
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · A&G LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- 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 5 / 100 verdict
- 01MINORNegative net worth -$89,445, net loss -$5,413
- 02MEDItem 19 not disclosed
- 03MINOR3 routine franchisor-plaintiff collection suits
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% 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 |
| Allowed renewalsℹ | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory sizeℹ | Radius |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 1 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 3 |
View Item 3 litigation summary
Three concluded breach of contract actions: (1) Smoothie Holdings FC, LLC v. Farhaj Haq and Wahaj Haq (settled April 2023, $9,000 payment); (2) Smoothie Holdings FC, LLC v. Extremeline Nutrition, LLC et al. (settled May 2024, permanent injunction); (3) Smoothie Holdings FC, LLC v. Fortune Ajebon, LLC et al. (settled December 2024, $4,500 payment plus injunction).
Items 10, 11
Training & Operations
- Classroom training
- 12 hrs
- On-the-job training
- 36 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Site selection
- franchisee, with franchisor approval and designated tenant representative consulting firm required
- Franchisor financing
- Not offered
- Item 10
- POS system
- Revel
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revel
Item 20 · call current owners
Franchisee Contacts
21 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Smoothie Factory / Smoothie Factory+Kitchen franchise?
The total investment to open a Smoothie Factory / Smoothie Factory+Kitchen franchise ranges from $279K – $475K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Smoothie Factory / Smoothie Factory+Kitchen franchise owners earn?
Smoothie Factory / Smoothie Factory+Kitchen makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Smoothie Factory / Smoothie Factory+Kitchen?
Smoothie Factory / Smoothie Factory+Kitchen is franchised by Smoothie Holdings FC, LLC. Its parent company is Smoothie Holdings, LLC. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Smoothie Factory / Smoothie Factory+Kitchen 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 Smoothie Factory / Smoothie Factory+Kitchen FDD and qualifies whose outlets they describe.
What is Smoothie Factory / Smoothie Factory+Kitchen's franchise failure rate?
Based on SBA 7(a) loan data, Smoothie Factory / Smoothie Factory+Kitchen has a charge-off rate of 40.5% across 43 loans, meaning 40.5% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Smoothie Factory / Smoothie Factory+Kitchen franchise locations are there?
As of their most recent FDD filing, Smoothie Factory / Smoothie Factory+Kitchen has 7 total units in the United States, including 7 franchised units and 0 company-owned units.
Is Smoothie Factory / Smoothie Factory+Kitchen a good franchise to buy?
FranchiseVerdict rates Smoothie Factory / Smoothie Factory+Kitchen as a F-grade franchise with a verdict score of 5 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
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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.