Blue Moon Franchise
Cost, fees, owner earnings, closure rate and litigation for a Blue Moon franchise — pulled from the franchisor's own public FDD (2025), not its sales material.
Disclosure honesty
Blue Moon discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
Provides gross sales data by territory and owner for 2024 (65 territories, 58 owners). Average annual gross sales $282,243 (territories) / $352,648 (owners). Median $204,018 / $277,216. Excludes newer units and multi-territory owners.
What a Blue Moon franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $57,000 | Item 5 — paid up front, before you open |
| Royalty | 5.5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 1% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 6.5% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $57,015 – $113,325 | Item 7 — franchisor's own low/high estimate |
Royalty 5.5% (Standard) or 8% (Reduced Fee). National ad 1%. Local marketing $1,000/mo minimum. $7,500 estate fulfillment deposit required.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Blue Moon system size and owner turnover
| Total outlets | 123 |
| Ceased operations | 3 |
| Terminated by franchisor | 9 |
| Transferred to new owners | 13 |
| Closure rate | 2.4% of outlets |
3 ceased operations in 2024; 9 terminations. System growing but unit-level failures evident.
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 Blue Moon worth it? — how it compares to 436 similar franchises
| Ongoing fees | 6.5% of sales | lower than most (median 8%) |
| Startup cost | from $57,015 | cheaper than most (median $138,750) |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 2.4% of outlets | about average |
| Disclosed lawsuits | 1 | about average |
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Blue Moon
The franchisor's framing: Provides gross sales data by territory and owner for 2024 (65 territories, 58 owners). Ave… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Blue Moon franchise — frequently asked
- How much does a Blue Moon franchise cost?
- The FDD lists a total initial investment of about $57,015–$113,325, including a $57,000 initial franchise fee.
- How much do Blue Moon franchise owners make?
- Provides gross sales data by territory and owner for 2024 (65 territories, 58 owners). Average annual gross sales $282,243 (territories) / $352,648 (owners). Median $204,018 / $277,216. Excludes newer units and multi-territory owners. We grade this disclosure C for honesty.
- What are the Blue Moon franchise fees?
- Blue Moon's FDD discloses a $57,000 initial franchise fee, a 5.5% royalty on gross sales, a 1% advertising-fund contribution, for roughly 6.5% of gross sales in recurring fees before rent, labor, or debt service. Royalty 5.5% (Standard) or 8% (Reduced Fee). National ad 1%. Local marketing $1,000/mo minimum. $7,500 estate fulfillment deposit required.
- What is the Blue Moon franchise profit margin?
- Blue Moon does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Provides gross sales data by territory and owner for 2024 (65 territories, 58 owners). Average annual gross sales $282,243 (territories) / $352,648 (owners). Median $204,018 / $277,216. Excludes newer units and multi-territory owners. 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 Blue Moon franchise failure rate?
- 3 ceased operations in 2024; 9 terminations. System growing but unit-level failures evident.
- How many Blue Moon locations are there?
- Blue Moon's FDD reports 123 total outlets, with 3 that ceased operations in the most recent reporting year and 13 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Blue Moon have complaints or lawsuits?
- Blue Moon discloses 1 legal matter in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Blue Moon franchise worth it?
- It depends on the numbers, not the pitch. Blue Moon scores C on disclosure honesty, carries about 6.5% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
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Compare Blue Moon to similar franchises
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Source: MN CARDS 33335-202504-07 (Clean FDD 2025). FranchiseValidate is independent and not affiliated with Blue Moon or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.