Gatsby Glass Franchise
Cost, fees, owner earnings, closure rate and litigation for a Gatsby Glass franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Gatsby Glass discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
Discloses 2025 gross sales for 17 franchisees (71 territories) by quartile. Top quartile avg $2.22M; bottom $449K. 35% exceeded system average of $1.13M. Omits operating expenses, profits, costs.
What a Gatsby Glass franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $59,500 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 5% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 10% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $201,383 – $258,968 | Item 7 — franchisor's own low/high estimate |
Royalty 5%-3% tiered; $500 minimum. CRM $400/mo + $600 setup. Tech $600/mo. Digital mgmt $500/mo. Accounting $499/mo. Contact center $200-300/mo.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Gatsby Glass system size and owner turnover
| Total outlets | 137 |
| Ceased operations | 0 |
| Terminated by franchisor | 16 |
| Transferred to new owners | 7 |
| Closure rate | 0.0% of outlets |
2025: 16 terminations of 94 outlets (17%). Company operating at net loss ($579K).
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 Gatsby Glass worth it? — how it compares to 436 similar franchises
| Ongoing fees | 10% of sales | steeper than 74% of other franchises franchises |
| Startup cost | from $201,383 | pricier than 63% of peers |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 0.0% of outlets | better than most (median 1.5%) |
| 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 Gatsby Glass
The franchisor's framing: Discloses 2025 gross sales for 17 franchisees (71 territories) by quartile. Top quartile a… 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
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Gatsby Glass franchise — frequently asked
- How much does a Gatsby Glass franchise cost?
- The FDD lists a total initial investment of about $201,383–$258,968, including a $59,500 initial franchise fee.
- How much do Gatsby Glass franchise owners make?
- Discloses 2025 gross sales for 17 franchisees (71 territories) by quartile. Top quartile avg $2.22M; bottom $449K. 35% exceeded system average of $1.13M. Omits operating expenses, profits, costs. We grade this disclosure C for honesty.
- What are the Gatsby Glass franchise fees?
- Gatsby Glass' FDD discloses a $59,500 initial franchise fee, a 5% royalty on gross sales, a 5% advertising-fund contribution, for roughly 10% of gross sales in recurring fees before rent, labor, or debt service. Royalty 5%-3% tiered; $500 minimum. CRM $400/mo + $600 setup. Tech $600/mo. Digital mgmt $500/mo. Accounting $499/mo. Contact center $200-300/mo.
- What is the Gatsby Glass franchise profit margin?
- Gatsby Glass does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Discloses 2025 gross sales for 17 franchisees (71 territories) by quartile. Top quartile avg $2.22M; bottom $449K. 35% exceeded system average of $1.13M. Omits operating expenses, profits, costs. Recurring fees alone take about 10% 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 Gatsby Glass franchise failure rate?
- 2025: 16 terminations of 94 outlets (17%). Company operating at net loss ($579K).
- How many Gatsby Glass locations are there?
- Gatsby Glass' FDD reports 137 total outlets, with 0 that ceased operations in the most recent reporting year and 7 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Gatsby Glass have complaints or lawsuits?
- Gatsby Glass 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 Gatsby Glass franchise worth it?
- It depends on the numbers, not the pitch. Gatsby Glass scores C on disclosure honesty, carries about 10% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Gatsby Glass or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.