Craft Beer Cellar Franchise Analysis

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Made the Grade

Craft Beer Cellar is a Franchise Grade Made The Grade™ franchise, which means it's ranked highly by our reviewers.

Franchise Info

Craft Beer Cellar franchise is a retail beer store that sells craft, micro and artisan beers. It also sells a variety of merchandise.

What is the upfront investment costs to be a franchise owner of a Craft Beer Cellar franchise?

Craft Beer Cellar has an initial franchise fee of up to $25,000, with a overall initial investment range from $60,325 to $182,000.

  • Initial Franchise Fee: $25,000
  • Total Investment: $60,325 to $182,000
  • Working Capital: $5,000 to $25,000
  • Royalty Fee: 2.0%

The upfront investment of any franchise opportunity includes several fees. Unlock this investment opportunity to better understand the specific costs required to purchase a Craft Beer Cellar, such as franchise fees, construction and costs, pre-opening marketing, and equipment purchases. It should be noted that, franchise companies are required to disclose all upfront fees. These are not only fees that are actually paid, but also commitments to fees you are required to pay.

Can you Afford an Craft Beer Cellar Franchise. Complete our Affordability Calculator to find out!

How much can I earn by owning a Craft Beer Cellar franchised business?

As with any new franchised business, there should be a solid ROI and net profit potential. The specific franchisee's income and the revenue from a Craft Beer Cellar franchise opportunity depends on a lot of different factors. One way to confirm the potential revenues or profits earned from a Craft Beer Cellar franchise investment is to analzye the franchisor's Item 19 within their FDD. This is called a financial performance representation. This is not required within a franchisor's disclosure and approximately 68% of all franchise companies that we have reviewed will disclose financial performance data within Item 19 of their FDD. Some franchise companies may disclose limited information such as average gross revenues. This type of financial disclosure is not always helpful to determine profitability for you directly. So review systemwide sales data with caution. As expected, typically earnings and owner's income are correspond to the overall size of the upfront investment. The larger the initial investment, the larger return you could expect to see. Another determining factor to profitability is based on the number of locations you own. If you buy multiple outlets (typically referred to as Area Development Agreements), you can anticipate that as you open the next location, you will generate more revenue and profits overall. Demand for your products, your labor costs in your state, commercial lease rates and several other variables are important factors in determining your profit margin and your personal income. Your financial success are associated with Craft Beer Cellar's success. Your returns and owner's income is not just reliant on how well your own location performs, you should assess how well the entire franchise system is operating. Determine how the franchisor earns income and review their financial returns.

For more details and system-specific data on the revenue of a Craft Beer Cellar franchise opportunity, unlock this franchise

How many franchise locations do they have?

As of the 2017 Franchise Disclosure Document, there are 28 franchised Craft Beer Cellar locations across the USA.

Did you know there are over 3,000 franchise opportunities across the United States. More than 80% have less than 10 locations.

Are there any Craft Beer Cellar franchise opportunities in my city?

Based on 2017 FDD data, Craft Beer Cellar has franchised locations in 13 states. There may be no locations in several states as each franchise plans their development strategy differently. Specific states also require franchise companies to register their franchise opportunity and file their Franchise Disclosure Document (FDD) with state examiners prior to awarding franchise opportunities to residents in that state. These registration states have examiners review a franchisor's FDD to ensure it complies state regulatory requirements. In addition to registration states, additional states have enacted supplemental franchise or business opportunity laws that mandate franchise companies to submit their franchise within the state. In most instances the filing is a notice within the state. Unlike franchise registration states, the franchise filing states do not review a franchisor's FDD.

AR
CA
CO
CT
FL
MA
ME
MO
NC
NH
NY
TX
VT

Based on our research this franchise is expanding into new regions and could be available in your city. While planning your franchise purchase, you should be thinking about what is a good location for my business. Anlayze the potential customer base to assess that the area you are looking at has a need or a market for this franchise. Even the most popular franchises have cities that they are not successful in. The reasons why a specific franchised location can fail are plentiful. You should review not only the franchise itself, but anlayze areas where you think the franchise has a better chance of long-term success.

One of our advisors will have detailed knowledge about this brand. Unlock to learn more and connect with our researchers.

Last Reviewed: 2017

Sector: Retail Food

Category: Beverage

Craft Beer Cellar Franchise STATS

Total Investment
$60,325 - $182,000
Franchise Fee
$25,000
Franchise agreement
Initial Term
10 Years
Renewal Term
5 Years
Franchise outlet growth
2013
5
2016
28
Ongoing fees
Royalty
2.0%
ad fees
0.0%
# of franchised outlets
28

EXTRA INFORMATION

Do they provide any initial training and opening assistance?

Yes, they have an initial training program of 80 hours. This includes 40 hours of classroom training, 40 hours of on-the-job training, and N/A hours of online training. In their FDD they outline who's in charge of the training. Unlock to find out more.


Online N/A
On-the-Job 40
Classroom 40
Total 80

Do they offer Territory Rights?

Craft Beer Cellar offers territory protections. For an explanation of territory rights, unlock this franchise for more details.

Do they have computer and technology support in place?

Yes, Craft Beer Cellar offers comprehensive support for franchisees. Unlock this franchise to find out more.


When did they start franchising?

They began franchising in 2012. The average Beverage franchise began franchising in 1984.


Do they offer financing support?

No, but you can click here to fill out our affordability calculator and understand your financing options.

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  • How many new outlets have they sold over the last 5 years?
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  • How many new outlets have they sold in the last 5 years?
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  • Do they operate any company or affiliate owned outlets?
  • How many years is their initial and renewal term lengths?
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  • Why has new franchise outlet growth been so low?
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  • Do they offer multi-unit discounts for buying more than one outlet?
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