Robeks Franchise Costs, Fees & Owner Salary (2023)

INVESTMENT

$320,000

-

$484,000

LOCATIONS

88

Emily

Updated

May 2, 2024

Is

Robeks

a franchise?

Yes,
Robeks
currently
accepts
franchise
applications

Robeks is a leading American smoothie and juice bars franchise headquartered in Los Angeles, California.

The chain was founded by Davidson Robertson in 1996 in Southern California.

Robeks offers a variety of menu items including smoothies, juices, frozen fruits, toasts, boosts, enrichments, and bowls. The franchise started its franchising journey in 2001 and currently operates 85 locations across the United States.

How many

Robeks

franchises

are there?

In 2022, there were
88
outlets in
the United
States, of which
87
are franchises, and
1
are corporate-owned.

What are the

Robeks

franchise

fees?

Royalty fee

6% to 7%

Advertising fee

5.00%

Initial Franchise Fee ($30,000)

The initial franchise fee for a Robeks franchise is $30,000. This fee is fully earned when paid and no portion of it is refundable under any circumstance.

If Robeks' Disclosure Document delivered to the franchisee in connection with the sale of this franchise disclosed that Robeks will discount the initial franchise fee (for example, when an existing franchisee purchases a subsequent franchise), and if the franchisee qualifies for the discount, Robeks will adjust the Initial Franchise Fee to conform with Robeks' Disclosure Document.

Royalty Fee (6% to 7% of Net Sales)

Franchisees are required to pay a continuing royalty fee which ranges between 6% to 7% of Net Sales, depending on the number of stores they operate.

Net Sales means the aggregate of all sales and other income from the Franchised Business, and any sales or other income resulting from the franchisee's conduct of any business outside of the Franchise Location involving the ROBEKS® System, the Proprietary Marks, or Proprietary Products.

Advertising Fee (5% of Net Sales)

Franchisees are obligated to contribute towards advertising and marketing efforts. This includes a contribution of 2.5% of Net Sales to the Robeks Marketing Fund.

Additionally, franchisees are required to spend a minimum of 2.5% of Net Sales for approved local advertisements, in accordance with their store's Local Store Marketing Plan.

Note: The fees presented here can be found in the Item 5 of the Franchise Disclosure Document. For a complete list of all the fees borne by the franchisee, please consult the Franchise Disclosure Document.

How much does

it cost

to start a

Robeks

franchise?

It costs between
$320,000
and
$484,000
to start a
Robeks
franchise.

Considering an investment in a Robeks franchise? The estimated initial investment for opening a single Robeks store ranges from $320,400 to $484,400.

This investment encompasses various expenditures, from leasehold improvements to the initial inventory.

Below is a detailed breakdown of these costs to provide a clearer understanding of where your investment would be allocated.

Type of Expenditure Amount
Initial Franchise Fee $30,000
Leasehold Improvements $130,000 - $200,000
Equipment $90,500 - $128,000
Fixtures $19,000 - $29,000
Signs $5,000 - $14,000
Computer System $4,500 - $7,000
Professional Fees $12,000 - $18,700
Deposits and Business Licenses $5,000 - $11,000
Real Estate Costs $3,500 - $5,400
Opening Inventory $7,200 - $10,000
Grand Opening Advertising $5,000 - $7,500
Travel for Training $0 - $5,000
Insurance $1,200 - $3,800
Additional Funds - 3 months $7,500 - $15,000
Total $320,400 - $484,400

Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.

Does

Robeks

provide

training

to its

franchisees?

Yes,
Robeks
provides
training

Here's a detailed look at what they offer to their franchisees:

Training Program: Robeks offers a comprehensive training program that combines various learning methods, ensuring that franchisees are well-prepared with the necessary knowledge and skills to operate their store.

Who Needs to Attend: Either the franchisee or the franchisee’s Primary Owner, and the person designated by the franchisee to operate the Franchised Business, must successfully complete Robeks' initial training program and qualify as a Certified Manager before opening the Franchised Business. This Certified Manager is responsible for training other store-level managers and employees.

Training Content: This includes sales techniques, product orientation, accounting procedures, food preparation, and operations management.

Location and Duration: The training is provided at Robeks' designated locations. The training consists of 80 hours of on-the-job training and 16 hours of classroom training.

Ongoing Training: Robeks may require the Principal Trainees to attend refresher courses, seminars, and other training programs.

Training Expenses: Robeks will provide the initial training program to two persons at no extra charge, with the cost included in the initial franchise fee.

Does

Robeks

provides

territory

protection?

Franchisees do not receive an exclusive territory. They are granted a geographical area known as the "Protected Territory". Within this Protected Territory, Robeks commits not to establish or grant a new franchise for the operation of a Robeks store.

However, franchisees may face competition from other franchisees, from outlets that Robeks owns, or from other channels of distribution or competitive brands controlled by Robeks.

The Territory will vary in size, depending on various factors such as the number of stores intended to be developed, population density, and demographics in the desired operational area.

Can a

Robeks

franchise

be run as

a passive

investment?

At Robeks, the franchise must always be under the direct, personal supervision of at least one Certified Manager. This manager is expected to devote their full time and best interests to managing the franchise.

While the Certified Manager doesn't need to have an equity interest in the franchise, they cannot serve as the designated manager for more than one Robeks store at any given time.

In the event of personnel turnover or if a franchise loses its Certified Manager, there's a 90-day window to hire a replacement who must also devote full time and attention to their duties. The franchisee can be the Certified Manager, but they must also commit full-time and best interests to the management of the business.

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