Freedom Franchise
Cost, fees, owner earnings, closure rate and litigation for a Freedom franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Freedom discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.
What their own earnings claim actually says
Franchisor explicitly states no financial performance representations made. Directs prospective franchisees to report unauthorized projections to management and FTC.
What a Freedom franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $50,000 | Item 5 — paid up front, before you open |
| Royalty | 6% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 0.5% 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 | $263,500 – $622,500 | Item 7 — franchisor's own low/high estimate |
6% royalty or $1,000-$2,000 minimum monthly. 0.5% brand fund. 1% local ads required. Multiple ancillary fees.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Freedom system size and owner turnover
| Total outlets | 437 |
| Ceased operations | 12 |
| Terminated by franchisor | 33 |
| Transferred to new owners | 4 |
| Closure rate | 2.7% of outlets |
2025: 33 terminations, 12 ceased operations, 4 transfers. Reacquisitions 2024: 13 FL locations.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Freedom worth it? — how it compares to 436 similar franchises
| Ongoing fees | 6.5% of sales | lower than most (median 8%) |
| Startup cost | from $263,500 | pricier than 71% of peers |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 2.7% of outlets | worse than 60% of peers |
| Disclosed lawsuits | 3 | more litigious than 74% of peers |
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 Freedom
The franchisor's framing: Franchisor explicitly states no financial performance representations made. Directs prospe… 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
Freedom franchise — frequently asked
- How much does a Freedom franchise cost?
- The FDD lists a total initial investment of about $263,500–$622,500, including a $50,000 initial franchise fee.
- How much do Freedom franchise owners make?
- Freedom discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
- What are the Freedom franchise fees?
- Freedom's FDD discloses a $50,000 initial franchise fee, a 6% royalty on gross sales, a 0.5% advertising-fund contribution, for roughly 6.5% of gross sales in recurring fees before rent, labor, or debt service. 6% royalty or $1,000-$2,000 minimum monthly. 0.5% brand fund. 1% local ads required. Multiple ancillary fees.
- What is the Freedom franchise profit margin?
- Freedom discloses no Item 19 earnings representation, so no profit margin can be derived from the FDD at all. Any margin figure quoted elsewhere is an estimate, not a disclosure.
- What is the Freedom franchise failure rate?
- 2025: 33 terminations, 12 ceased operations, 4 transfers. Reacquisitions 2024: 13 FL locations.
- How many Freedom locations are there?
- Freedom's FDD reports 437 total outlets, with 12 that ceased operations in the most recent reporting year and 4 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Freedom have complaints or lawsuits?
- Freedom discloses 3 legal matters 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 Freedom franchise worth it?
- It depends on the numbers, not the pitch. Freedom scores F on disclosure honesty, carries about 6.5% of sales in ongoing fees, and discloses 3 legal matters. Get the real owner take-home before you sign.
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Compare Freedom to similar franchises
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Source: MN CARDS 35978-202604-06 (Clean FDD 2026). FranchiseValidate is independent and not affiliated with Freedom or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.