This franchisor discloses little to no earnings data (Item 19).
★☆☆☆☆FranchiseValidate transparency rating: 1/5
Investment
$42,500–$49,400
Total fees
0.96% of sales
Outlets
49
Closure signals
0 ceased, 6 terminated
Lawsuits
0
Is Groutsmith worth it? How it compares to 223 similar franchises
Ongoing fees
0.96% of sales
lower than most (median 8%)
Startup cost
from $42,500
cheaper than most (median $128,950)
Disclosure honesty
Grade F
less honest than most of the category
Closure rate
0.0% of outlets
better than most (median 1.5%)
Disclosed lawsuits
0
fewer than most
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
What their own earnings claim actually says
No financial performance representations made. Franchisor explicitly states no representations about franchisee future performance or outlet historical performance.
Honesty grade F: the disclosed numbers are incomplete or framed to look better than an owner's real take-home.
Failure & turnover reality (Item 20)
6 terminations in 2024; 2-3 annual transfers suggest instability despite no disclosed failures.
Get the full Groutsmith validation report — $149
The franchisor won't put real owner profit in writing. We do — reconstructed from their own FDD.
Franchisor's framing: No financial performance representations made. Franchisor explicitly states no representations …
🔒 Real estimated owner take-home (low / median / high) — unlocked in the report
Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
Break-even timeline + cash-on-cash ROI on your investment
Full fee stack + required-purchase markups
Decoded real failure / closure rate
How it ranks vs comparable franchises
Validation-call playbook — who to call + the exact questions
The FDD lists a total initial investment of about $42,500–$49,400, including a $34,900 initial franchise fee.
How much do Groutsmith franchise owners make?
Groutsmith 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 is the Groutsmith franchise failure rate?
6 terminations in 2024; 2-3 annual transfers suggest instability despite no disclosed failures.
Is a Groutsmith franchise worth it?
It depends on the numbers, not the pitch. Groutsmith scores F on disclosure honesty, carries about 0.96% of sales in ongoing fees. Get the real owner take-home before you sign.
Own a Groutsmith? Add your real numbers (anonymous)
We publish only aggregated benchmarks — never your name. Contribute and we'll show you how your numbers compare.
Source: MN CARDS 34584-202508-10 (Clean FDD 2025). FranchiseValidate is independent and not affiliated with Groutsmith or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.