LivBay Franchises Franchise Cost and Profit

LivBay Franchises requires a total initial investment of $517K to $2.0M (midpoint approximately $1.3M), with an initial franchise fee of $50K. The ongoing fee burden is 8% (6% royalty plus 2% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.

According to Item 19 of the 2026 FDD, the median revenue for LivBay Franchises locations is $739K. The implied franchisee EBITDA is approximately $89K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 7.1% with a payback period of approximately 14.1 years.

LivBay Franchises operates approximately 35 franchised units. However, the brand has been contracting with a 8.3% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure.

Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.