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SUBJECT DOSSIER · FDD 2025

Adam & Eve Franchise

Cost, fees, owner earnings, closure rate and litigation for a Adam & Eve franchise — pulled from the franchisor's own public FDD (2025), not its sales material.

Retail & Business Services · disclosure-honesty grade · from public state filings

Disclosure honesty

B
Transparency 4 / 5

Adam & Eve discloses earnings (Item 19) — but the grade is how honestly. We graded it B.

Outlets107
Disclosed lawsuits0
Closure signals1 ceased
Investment
$105,365–$365,410
Total fees
6.5% of sales
Outlets
107
Closure signals
1 ceased, 0 terminated
Lawsuits
0
◢ FINDINGS
ITEM 20
1 outlets ceased operations
Minimal churn: 1 ceased operations (Peru); zero terminations/transfers 2024.

What their own earnings claim actually says

2024: 101 stores, avg $67,964/month sales. 40% met/exceeded average; 50% met/exceeded $60,076 median. Gross margin 67.3% average (58.1%-74.3% range).

What a Adam & Eve franchise actually costs to run

FeeDisclosedWhere it comes from
Initial franchise fee$30,000Item 5 — paid up front, before you open
Royalty5% of gross salesItem 6 — charged on revenue, not profit
Advertising fund1.5% of gross salesItem 6 — brand marketing, spent at the franchisor's discretion
Total recurring fees6.5% of gross salesBefore rent, labor, food or debt service
Total initial investment$105,365 – $365,410Item 7 — franchisor's own low/high estimate

Conversion franchise: 3% royalty, lower initial fees. Multi-unit discounts available. Brand fund 1.5%, local ad spend 5% minimum.

Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.

Adam & Eve system size and owner turnover

Total outlets107
Ceased operations1
Terminated by franchisor0
Transferred to new owners0
Closure rate0.9% of outlets

Minimal churn: 1 ceased operations (Peru); zero terminations/transfers 2024.

From Item 20 of the FDD 2025. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.

Is Adam & Eve worth it? — how it compares to 59 similar franchises

Ongoing fees6.5% of saleslower than most (median 7%)
Startup costfrom $105,365cheaper than most (median $157,952)
Disclosure honestyGrade Bmore honest than 80% of retail & business services franchises
Closure rate0.9% of outletsbetter than most (median 2.4%)
Disclosed lawsuits0fewer than most

Benchmarked against every retail & business services franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.

◤ CLASSIFIED · ITEM 19 RECONSTRUCTED

Owner take-home for a Adam & Eve

The franchisor's framing: 2024: 101 stores, avg $67,964/month sales. 40% met/exceeded average; 50% met/exceeded $60,… We reconstruct what an owner actually keeps, from their own FDD.

LOW
MEDIAN
HIGH

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Adam & Eve franchise — frequently asked

How much does a Adam & Eve franchise cost?
The FDD lists a total initial investment of about $105,365–$365,410, including a $30,000 initial franchise fee.
How much do Adam & Eve franchise owners make?
2024: 101 stores, avg $67,964/month sales. 40% met/exceeded average; 50% met/exceeded $60,076 median. Gross margin 67.3% average (58.1%-74.3% range). We grade this disclosure B for honesty.
What are the Adam & Eve franchise fees?
Adam & Eve's FDD discloses a $30,000 initial franchise fee, a 5% royalty on gross sales, a 1.5% advertising-fund contribution, for roughly 6.5% of gross sales in recurring fees before rent, labor, or debt service. Conversion franchise: 3% royalty, lower initial fees. Multi-unit discounts available. Brand fund 1.5%, local ad spend 5% minimum.
What is the Adam & Eve franchise profit margin?
Adam & Eve does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: 2024: 101 stores, avg $67,964/month sales. 40% met/exceeded average; 50% met/exceeded $60,076 median. Gross margin 67.3% average (58.1%-74.3% range). Recurring fees alone take about 6.5% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
What is the Adam & Eve franchise failure rate?
Minimal churn: 1 ceased operations (Peru); zero terminations/transfers 2024.
How many Adam & Eve locations are there?
Adam & Eve's FDD reports 107 total outlets, with 1 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
Does Adam & Eve have complaints or lawsuits?
Adam & Eve discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
Is a Adam & Eve franchise worth it?
It depends on the numbers, not the pitch. Adam & Eve scores B on disclosure honesty, carries about 6.5% of sales in ongoing fees. Get the real owner take-home before you sign.

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Source: WI DFI Franchise Registration (2025). FranchiseValidate is independent and not affiliated with Adam & Eve or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.