Jamba
Jamba Juice offers fresh smoothies, juices, and portable food items in various store formats. Known for its blended-to-order drinks, Jamba operates in the quick-serve beverage and casual dining industries.
About Jamba
Jamba, formerly known as Jamba Juice, is an American quick-service restaurant and juice bar chain that sells blended fruit and vegetable juices, smoothies, and other food products. The first Jamba location, originally named Juice Club, opened in 1990 in San Luis Obispo, California. Jamba is owned by GoTo Foods, an affiliate of private equity firm Roark Capital Group, which completed its acquisition in 2019. The company has 850 locations operating in 38 states in the United States, and also has locations in Australia, Japan, the Philippines, Taiwan, South Korea, Thailand, Indonesia, and Hong Kong.
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Jamba franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Jamba franchise ranges from $243,425 to $746,850 for a Non-Traditional Store and from $468,650 to $806,250 for a Traditional Store without a drive-thru. For a Traditional Store with a drive-thru, the range is from $505,000 to $928,800. The Auntie Anne's Co-Branded Store requires an investment of $460,375 to $1,133,000. [p.2]
What is the initial franchise fee?
The initial franchise fee varies based on the type of store. For a Traditional Store or Non-Traditional Store, it is $35,500, while for a Co-Branded Store, it is $71,000 ($35,500 of which goes to Auntie Anne's). This fee is nonrefundable once the franchise agreement is signed [p.28, p.150].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is a recurring, non-refundable payment as specified in Schedule A [p.150]. There is also an obligation to make advertising contributions, though specific amounts for these fees are not detailed in the provided excerpts [p.52, p.165].
How long is the initial franchise agreement, and can I renew it?
The duration of the initial franchise agreement isn't specified in the excerpts. Additionally, while the FDD mentions provisions for refusing to renew a franchise without fairly compensating the franchisee, it doesn't provide specific details on the renewal process or terms [p.4, p.6(d)].
Can I sell or transfer my franchise, and what does that require?
You can transfer your ownership of the franchise, but it requires giving advance notice and submitting requested information. Additionally, you must satisfy certain conditions set by the franchisor, including paying a 10% transfer fee equal to the current initial franchise fee. The franchisor may also withhold consent for any reasonable grounds or subject it to reasonable conditions [p.188].
On what grounds can the franchisor terminate the agreement?
This isn't specified in the excerpts. The provided FDD excerpts only detail termination grounds for the franchisee and do not specify conditions under which the franchisor can terminate the agreement.
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. However, if you operate a Co-Branded Store in a Streetside Location, you will have an Area of Protection where the franchisor agrees not to establish another Co-Branded Store during the term of the Franchise Agreement [p.75].
What training and ongoing support does the franchisor provide?
The franchisor provides certain support and services through a management agreement with GoTo Foods, including training. Additionally, some franchisees who meet specific requirements can be authorized to provide portions of the Management Training Program on behalf of the franchisor. [p.73] However, the franchisor remains responsible for ensuring all promised services are performed in compliance with the Franchise Agreement, even if delegated. [p.11]
How many franchised outlets are there, and how many have closed or been terminated?
As of December 29, 2024, there were 531 Traditional Franchises. However, this number does not include certain types of stores such as NonTraditional Stores (195 locations) and a food truck, nor does it include 35 Traditional Franchises that permanently closed during Fiscal Year 2024. The specific number of franchised outlets that have closed or been terminated is not directly provided in the excerpts, but it can be inferred that at least 35 traditional franchises closed during that fiscal year. [p.89]
Does the franchisor share any financial performance or earnings information?
The franchisor shares limited financial performance information, specifically for fiscal year 2023 of certain Traditional Franchises that were eligible franchises during that period. This information is provided in Item 19 and includes sales data from all 53 weeks of the fiscal year [p.88]. However, the franchisor does not make any representations about a franchisee's future financial performance or past earnings, nor do they authorize their employees or representatives to do so [p.90, p.201].
What am I restricted to selling, and where must I buy supplies?
You are restricted to selling only the Approved Products as specified by the franchisor, including menu items and other required products. You must purchase or lease certain equipment from an Approved Supplier that complies with the franchisor's standards [p.49]. Additionally, you may have to buy or lease items from the franchisor or a limited group of suppliers they designate, which might be more expensive than alternatives [p.4].