PINKBERRY Franchise Cost and Profit

PINKBERRY requires a total initial investment of $272K to $635K (midpoint approximately $454K), with an initial franchise fee of $35K. The ongoing fee burden is 10% (6% royalty plus 4% advertising fund). This is below the industry average of approximately 14.2%, leaving more margin for the operator.

According to Item 19 of the 2024 FDD, the median revenue for PINKBERRY locations is $585K. The implied franchisee EBITDA is approximately $18K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 3.9% with a payback period of approximately 25.9 years.

PINKBERRY operates approximately 63 franchised units. However, the brand has been contracting with a 6.2% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure. The SBA 7(a) loan default rate of 0.0% is well below the industry average of approximately 9.4%, indicating strong franchisee financial outcomes.

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.