Barmetrix Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$55,950 - $60,600
Franchise Fee
$49,900
Total US Locations
20
Business Summary
Barmetrix Hospitality LLC operates a service business that provides outsourced audit services for inventory control of liquor, beer, wine, sundries, and food specifically for the hospitality industry. The Barmetrix Business uses proprietary software and a unique computerized evaluation method, along with training and ongoing consulting, to help its customers maximize profitability and minimize losses.
Corporate History
Barmetrix Hospitality LLC was organized as a limited liability company in Maryland on December 7, 2021. The company acquired all the assets of Barmetrix USA LLC on March 8, 2022. Following this acquisition, Barmetrix Hospitality LLC began offering franchises in the United States on March 9, 2022.
Financial Overview
Investment Range
$55,950 - $60,600
Franchise Fee (Low)
$49,900
Franchise Fee (High)
$49,900
Royalty %
8%
Marketing %
2%
Equipment Costs (Low)
$1,250
Equipment Costs (High)
$1,500
Working Capital
$2,250
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
Barmetrix Hospitality LLC's financial statements show a positive trend, with the company becoming profitable in 2023 with a net income of $25,331, an increase from a loss in 2022. The company also experienced significant revenue growth in 2023. As of December 31, 2023, Barmetrix Hospitality LLC has positive members' equity and adequate working capital, with current assets exceeding current liabilities. The auditor's report does not raise any substantial doubt about the company's ability to continue as a going concern.
Financing Details
Barmetrix Hospitality LLC may offer to finance up to 50% of the initial franchise fee. This financing is typically structured as monthly payments over a maximum of 3 years, with an interest rate of 7% per annum. Barmetrix Hospitality LLC does not take any security interest for these loans. Franchisees can pay off the promissory note early without penalty, provided the principal and accrued interest are paid in full. If a franchisee defaults on the note, Barmetrix Hospitality LLC may declare the entire unpaid balance immediately due. Apart from this initial franchise fee financing, Barmetrix Hospitality LLC does not offer any other direct or indirect financing, nor does it arrange financing from other sources or guarantee any franchisee obligations.
Performance Metrics
Total US Locations
20
Franchised Units
17
Corporate Units
3
Franchising Since
2022
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Barmetrix Hospitality LLC has no litigation that is required to be disclosed in this document.
Bankruptcy History
Barmetrix Hospitality LLC has no bankruptcy information that is required to be disclosed in this document.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew the franchise agreement, Barmetrix Hospitality LLC franchisees must provide written notice of their intent to renew at least 6 months before the current term expires. They must have fully complied with all terms of the Franchise Agreement throughout the initial or preceding renewal term, satisfied all monetary obligations to Barmetrix Hospitality LLC, and brought their business into conformity with current standards and specifications. Additionally, franchisees must not be in default of any licenses for the business, sign a new franchise agreement (which may include different terms like royalty rates and advertising contributions), execute a general release of claims against Barmetrix Hospitality LLC, and pay a renewal fee of $4,000.
Training & Support Program
Franchisor Assistance
Before opening, Barmetrix Hospitality LLC provides franchisees with access to its operations manual, designates their territory, specifies required computer hardware, software, marketing materials, and supplies, and offers initial training. During operation, Barmetrix Hospitality LLC grants use of its trademarks, may initiate national, regional, or local promotional programs, and can establish and administer advertising funds. Franchisees receive reasonable guidance and operating assistance, use of proprietary software (Pilot Inventory System), and access to confidential information. Barmetrix Hospitality LLC also offers training for newly-hired or replacement employees, though franchisees must cover the cost for these additional trainings.
Initial Training Hours
206
Training Location
Remote/virtual environment, designated practice venues, and Barmetrix Hospitality LLC's headquarters in Kensington, MD.
Ongoing Support
Barmetrix Hospitality LLC provides ongoing support to franchisees through reasonable guidance and operating assistance. This includes requiring participation in up to 10 days of annual refresher training courses and a 3-day annual convention, for which franchisees cover travel, living, and registration fees. Barmetrix Hospitality LLC may also initiate national, regional, and local promotional programs. Franchisees must allow Barmetrix Hospitality LLC remote access to their computer systems for troubleshooting and support, providing access to audit schedules, time tracking data, and Quick Books data.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Non-Exclusive
Staff Count
2
Territory Size Requirements
Barmetrix Hospitality LLC territories are typically defined by zip codes and/or counties.
Staffing Notes
Barmetrix Hospitality LLC franchisees are responsible for hiring all employees and independent contractors, including their compensation and benefits. Franchisees must implement an employee training program that meets Barmetrix Hospitality LLC's standards and ensure all staff wear approved uniforms while performing services. Barmetrix Hospitality LLC may also require employees and contractors to sign non-compete and confidentiality agreements. The owner or a designated full-time manager (who must complete initial training) is required to directly supervise the business's day-to-day operations full-time.