Corelife Eatery
CoreLife Eatery offers customizable green, grain, and bone broth bowls in an assembly-line format. Known for health-conscious dining options, it operates as a fast-casual restaurant franchise focusing on build-your-own bowls.
Corelife Eatery franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a single CoreLife Eatery franchise is between $789,500 and $1,044,000. This includes between $63,000 and $64,000 that must be paid to the franchisor or affiliate(s) [p.1].
What is the initial franchise fee?
The initial franchise fee is not explicitly stated in these excerpts, but it can be inferred that the initial franchise fee for the first franchise agreement is $35,000 plus additional fees for subsequent franchises. This information is detailed on page [p.13] and [p.208].
What are the ongoing royalty and advertising fees?
The ongoing royalty is a continuing payment of 5% of the franchisee's Net Sales each week, as specified in [p.94]. For advertising, the franchisee must contribute up to 3.5% of their weekly Net Sales to the Brand Fund, with the franchisor using these funds for marketing and promoting the CoreLife Eatery brand, though this is not guaranteed to benefit any specific franchisee directly ([p.30] - [p.112]).
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts. The provided FDD excerpts do not detail the duration of the initial franchise agreement or the renewal process beyond mentioning that a renewal fee may be required under certain conditions [p.92].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, a franchisor can refuse to permit a transfer of ownership of a franchise except for good cause [p.5]. To proceed with a transfer, you must submit a request and pay a non-refundable $1,000 deposit. If approved, you will also need to pay 50% of the current initial franchise fee and any related brokerage or finder's fees [p.128].
On what grounds can the franchisor terminate the agreement?
According to [p.5], a franchisor can terminate the agreement if there is good cause, which includes the failure of the franchisee to comply with any lawful provision of the franchise agreement and failing to cure such failure after receiving written notice and a reasonable opportunity (no more than 30 days) to do so. Additionally, [p.209] mentions that termination without 'reasonable cause' as defined by the Virginia Retail Franchising Act or Virginia law may not be enforceable.
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The provided FDD does not detail specific net worth or liquid capital requirements for franchisees or area developers. However, it does mention that financial capacity is considered when evaluating Area Developers [p.170], and there are debt-to-capital limitations for Franchisees [p.143].
Do I get an exclusive or protected territory?
This isn't specified in the excerpts. The FDD indicates that you will not receive an exclusive territory and may face competition from other franchisees, owned outlets, or competitive brands [p.37, p.35]. However, if certain conditions are met, such as signing an Area Development Agreement, a defined territory might be granted, but this is at the discretion of the franchisor [p.28].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program lasting approximately three weeks, which includes up to four attendees with one being a principal owner. This training is provided at no tuition charge for up to four people attending simultaneously, but if you sign an Area Development Agreement, this may change based on certain conditions [p.21]. Additionally, the franchisor offers an On-Site Assistance Program of up to two weeks after opening, though it is not guaranteed and depends on the number of previously opened eateries by the franchisee [p.102]. For additional or ongoing training, you must pay for travel, lodging, and other personal expenses, plus any applicable fees [p.18].
How many franchised outlets are there, and how many have closed or been terminated?
Based on the provided excerpts, six franchised outlets have closed as of the Issuance Date of this Franchise Disclosure Document [p.52]. However, the total number of current franchised outlets is not specified in these excerpts. [p.55] mentions that six franchised outlets have closed, including one each in Indiana, Ohio, South Carolina, and Virginia, and two in New York, but it does not provide the total count of current outlets.
Does the franchisor share any financial performance or earnings information?
The franchisor can provide actual records of an existing outlet being considered for purchase. However, they do not make any representations about future financial performance and do not authorize their employees or representatives to make such claims either orally or in writing [p.51].
What am I restricted to selling, and where must I buy supplies?
You are required to sell only those services and products authorized by the franchisor, which meet their standards and specifications. You must purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, and real estate related to establishing and operating the CoreLife Eatery from approved suppliers, designees of the franchisor, or the franchisor itself, unless prior written consent is obtained for deviation. [p.22, p.3, p.42]