About Cleanest Restaurant Group Franchise
Cleanest Restaurant Group is a restaurant franchise concept that has been offering opportunities since 2022.
The brand distinguishes itself with a strong emphasis on cleanliness, food safety, and quality standards throughout every aspect of the dining experience.
Each location aims to set a new benchmark for hygiene and operational excellence in the restaurant industry.
Cleanest Restaurant Group Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $60,000 to $120,000 | One-time payment upon signing |
| Royalty Fee | 8% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 3% of Gross Sales, currently 1% of Gross Sales. Minimum of $50 per week for a Standard Operating Territory or $100 per week for a Large Operating Territory commencing on month 13 | National brand fund |
| Total Investment Range | $102,894 – $208,552 | Includes build-out, inventory, working capital |
The investment range of $103K–$209K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (8% of Gross Sales) and marketing fee (Up to 3% of Gross Sales, currently 1% of Gross Sales. Minimum of $50 per week for a Standard Operating Territory or $100 per week for a Large Operating Territory commencing on month 13) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $60,000 | $120,000 |
| Construction and Leasehold Improvements | $0 | $1,000 |
| Storage Unit | $0 | $6,344 |
| Furniture and Fixtures | $0 | $750 |
| Equipment | $3,288 | $4,110 |
| Signage | $0 | $1,000 |
| Initial Inventory | $420 | $524 |
| Utility Deposits | $175 | $175 |
| Computer, Software and Business Management System | $2,292 | $3,084 |
| Service Vehicle | $10,000 | $15,000 |
| Grand Opening Marketing | $3,000 | $10,000 |
| Insurance Deposits – 3 Months | $2,083 | $6,250 |
| Travel for Initial Training | $1,750 | $5,000 |
| Professional Fees | $1,500 | $5,000 |
| Licenses and Permits | $500 | $1,000 |
| Printing, Stationery and Office Supplies | $1,194 | $1,194 |
| Additional Funds – 3 months | $16,692 | $28,121 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 25% of the then current initial franchise fee |
| Renewal Fee | 5% of the then current initial franchise fee |
| Technology Fee | Up to $750 per month for a Standard Operating Territory or $1,500 per month for a Large Operating Territory, currently $500 per month |
| Audit Fee | Cost of audit (if underreporting of 2% or greater) |
| Franchisee Directed Local Marketing | Minimum of $500 per month for a Standard Operating Territory or $1,000 per month for a Large Operating Territory |
| Local and Regional Advertising Cooperatives | As established by cooperative members, but not exceeding 2% of Gross Sales |
| Customer Service and Refunds | Varies under the circumstances |
| Annual Conference Attendance Fee | Our then current conference fee, not greater than $1,500 |
| Additional Employee Initial Training | Our then current training fee, currently $500 per person per day |
| Supplemental Training | Our then current daily rate per trainer, plus expenses we incur. Current rate is $500 per day |
| Non-Compliance: Customer Reviews | $250 to $750 per month |
| Reporting Non-Compliance | $150 per occurrence |
| Operations Non-Compliance | $450 to $1,000 per occurrence |
| Payment Non-Compliance | $150 per occurrence |
| Interest | 18% per annum from due date |
| Legal Fees and Expenses | Costs and expenses |
| Indemnification | Actual cost incurred by us |
| NSF Check Fee of Failed Electronic Fund Transfer | $50 per occurrence |
| Quality Assurance Audit | Actual costs incurred by us |
| Collections | Actual fees, costs, and expenses |
| Non-Compliance | Actual fees, costs, and expenses |
| Testing or Supplier Approval | Actual fees, costs, and expenses |
| Operations Manual Replacement Fee | $500 |
| Management Service | 20% of Gross Sales, plus expenses |
| Relocation Fee | Costs and expenses |
| Post-Termination or Post-Expiration Expenses | Costs and expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 1-week |
| Classroom Training | 13 |
| On-the-Job Training | 32 |
| Training Location | New York, New York |
| Additional Training | Franchisor may require supplemental on-site training if performance standards are not met, at a cost of $500 per trainer per day plus expenses. Franchisees may also be required to attend a System-Wide Training Program for up to 5 days per calendar year, with franchisees responsible for all travel and expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | Standard Operating Territory: 100,000 to 300,000 people. Large Operating Territory: 300,001 to 600,000 people. |
| Description | The scope of your Operating Territory will vary based on local factors and market conditions, qualifying as either a Standard or Large Operating Territory. Population is determined in aggregate without regard to demographics or age. The franchisor will not open or grant another franchise within your Operating Territory, subject to Reserved Rights. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | up to 2 additional 5 year renewal terms |
| Renewal Fee | 5% of the then current initial franchise fee |
| Renewal Conditions | Franchisee must be in compliance, provide 180-day written notice, sign the then-current franchise agreement and related agreements, sign a general release, pay the renewal fee, and meet all other renewal requirements. Owners and their spouses must also be in compliance and personally guarantee the renewal terms. |
| Transfer Fee | 25% of the then current initial franchise fee |
| Transfer Conditions | Transfers require franchisor's prior written consent. Conditions include 30 days prior written notice, satisfaction of all monetary obligations, no default, transferee agreeing to be bound by the agreement, transferee owners/spouses guaranteeing obligations, signing a general release, potential requirement to sign a new franchise agreement, upgrading the administrative office, transferee completing training, payment of the transfer fee, franchisor's approval of transfer terms, and transferee employees signing confidentiality agreements. |
| Termination for Cause | Franchisor can terminate for default. Curable defaults (10 or 30 days to cure) include failure to pay fees, failure to timely lease/develop/open, non-compliance with operational standards, failure to maintain insurance, reporting non-compliance, and payment non-compliance. Non-curable defaults include 3 or more curable defaults, intentional refusal to comply, operating in violation of laws posing health/safety threat, abandonment, material misrepresentation, unauthorized transfer, disclosure of confidential information, dishonest conduct, failure to complete training, misuse of marks, and bankruptcy/insolvency. |
| Non-Compete Period | 24 months |
| Non-Compete Details | During the Post-Term Restricted Period (24 months after expiration/termination/transfer), franchisee cannot have any involvement, ownership, or interest in any competing business within their Operating Territory, a 25-mile radius surrounding it, or the operating territory of any other Cleanest Restaurant Group Business. Franchisee must also comply with confidentiality, non-disclosure, and non-solicitation covenants. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Managing Owner (managing shareholder or partner) must be personally responsible for the daily management and supervision, dedicating full-time efforts and being on-site. A manager may be hired if they meet franchisor's criteria, complete training, sign confidentiality/non-compete agreements, and agree to on-site management. All owners and their spouses must personally guarantee all obligations. |
| Required Suppliers | You may only offer and sell the Approved Services and Products that we designate and you may only use those products, supplies, equipment, technology systems, and services that we authorize and designate in writing. We may designate ourselves and our affiliates as exclusive suppliers of source restricted goods and services. |
| Supply Restrictions | You must purchase or lease certain source restricted goods and services for the development and operation of your Cleanest Restaurant Group Business. Source restricted goods and services are goods and services that must meet our specifications and/or must be purchased from an approved or designated supplier. |
| Franchisor Revenue from Suppliers | Franchisor and/or its affiliates may receive rebates, payments, and other material benefits from suppliers based on franchisee purchases, but as of the Issuance Date, no revenue has been received from suppliers of franchisee purchases of source restricted products or services. |
Cleanest Restaurant Group Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Cleanest Restaurant Group Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cleanest Restaurant Group System Growth
Cleanest Restaurant Group currently operates 0 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 0 | 0 | 1 |
| 2020 | 0 | 0 | 1 |
| 2021 | 0 | 0 | 1 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 23 states: CA, CT, FL, HI, IL, IN, KY, ME, MD, MI, MN, NE, NY, NC, ND, RI, SC, SD, TX, UT, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Metwally CPA PLLC for year ending December 31.
Cleanest Restaurant Group Franchise — FAQ
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