Risk Score
Pending analysis
Investment Range
$176,500 - $449,000
Franchise Fee
$7,500
Total US Locations
69
Business Summary
CLEAN JUICE operates retail stores that primarily offer a variety of healthy food and beverage items. These include fruit and vegetable juices, smoothies, coffees, teas (including matcha), acai bowls, toasts, sandwiches, wraps, and other supplemental products. All juice bar menu items, such as juices, smoothies, and acai bowls, are currently made with 100% USDA certified organic ingredients. The franchise offers two store formats: Traditional Stores, which are typically 600 to 1,000 square feet and located in retail settings for dine-in and take-out service, and Non-Traditional Stores, which are smaller (350 to 550 square feet) and often found in urban areas, food courts, food trucks, shipping containers, or kiosks, offering limited seating and product selections.
Corporate History
CJ FRESH HOLDINGS FC, LLC was formed as a Texas limited liability company on May 1, 2024. It operates under the trade name CLEAN JUICE and primarily sells franchises for Clean Juice stores. The company itself has no prior operating history in the franchised business. CJ FRESH HOLDINGS FC, LLC is a wholly-owned subsidiary of CJ FRESH HOLDINGS, LLC (CJ Fresh LLC), which holds the CLEAN JUICE trademarks. CJ Fresh LLC acquired the Clean Juice system's assets from Clean Juice Holdings, LLC, which is considered the predecessor, on May 20, 2024. Clean Juice Holdings, LLC had been offering Clean Juice franchises from 2016 until the acquisition date.
Financial Overview
Investment Range
$176,500 - $449,000
Franchise Fee (Low)
$7,500
Franchise Fee (High)
$30,000
Royalty %
6%
Marketing %
2%
Equipment Costs (Low)
$173,000
Equipment Costs (High)
$307,500
Working Capital
$7,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Clean Juice's financial condition, as noted in the FDD's Special Risks section, raises questions about its ability to provide services and support. However, for the period ending December 29, 2024, management concluded there is no significant doubt about the company's ability to continue as a going concern due to positive cash flows from operations. For the earlier period ending May 20, 2024, while initially there was substantial doubt about the company's ability to continue as a going concern due to dependence on its ultimate parent and affiliates for liquidity, this doubt was alleviated by the commitment of the ultimate parent and affiliates to provide necessary funding for at least twelve months.
Financing Details
Clean Juice does not offer any direct or indirect financing to its franchisees, nor does it guarantee any franchisee's notes, leases, or other financial obligations.
Performance Metrics
Total US Locations
69
Franchised Units
69
Corporate Units
0
Avg Square Footage
625
Franchising Since
2016
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
3
Litigation Summary
Clean Juice has 3 litigation cases disclosed. Two cases, A3 Management, Inc. and DMW Whole Organics, LLC., involved franchisees sending a notice of intent to prematurely close their stores and demanding mediation in September and October 2024, respectively. Both were resolved outside of mediation in late 2024 or early 2025, resulting in the termination of the franchise agreements and store closures. A third case, CHNC I, LLC v. Clean Juice Franchising, LLC et al., is currently pending. This former Clean Juice franchisee filed a complaint in January 2024 regarding the sale and transfer of a store, alleging that Clean Juice Franchising, LLC failed to update its 2023 disclosure documents with material information, including other franchisee mediations and arbitrations, and that Item 19 financial performance representations were inaccurate, among other claims.
Bankruptcy History
Clean Juice has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise, Clean Juice franchisees must provide written notice of their intent to renew between 12 and 24 months before the current term expires. They must not be in default of any material provisions of their agreements and must have fully complied with all material terms. All amounts owed to Clean Juice, its affiliates, and third-party suppliers must be paid. The store must be renovated and refurbished to reflect Clean Juice's then-current image, trade dress, equipment, and furnishings standards. Franchisees must also have the right to remain in possession of their store premises or secure approved substitute premises, and they must meet Clean Juice's current qualifications for new franchisees, including training requirements. Additionally, they and their guarantors must sign a general release of claims and pay a renewal fee. Finally, franchisees must submit a walkthrough video of their store to demonstrate compliance with requested items.
Training & Support Program
Franchisor Assistance
Clean Juice provides various forms of assistance to its franchisees. Before a store opens, Clean Juice approves the site within 30 days of receiving all necessary information. It offers initial training for up to two individuals at no cost (though franchisees cover their own travel, lodging, and dining expenses). Clean Juice also provides five days of on-site store opening assistance for the first store, with franchisees reimbursing travel, lodging, and dining costs. Additional on-site assistance is available for a fee. Franchisees receive a loan of the operational Manual, pre-opening consultation on development, layout, purchasing, and inventory, and a list of designated suppliers. Clean Juice also uses the new store marketing plan fee to promote the grand opening. During operation, Clean Juice offers ongoing consultation and advice on new product development, store management, marketing, and financial matters. It communicates information about designated suppliers and distributors and administers the Brand Development Fund for advertising and promotional activities. Franchisees are required to install and use a point-of-sale (POS) system, other required software (such as the Lunchbox platform for loyalty and online ordering), and managed security service providers. Clean Juice also plans to implement a customer feedback tool.
Initial Training Hours
63
Training Location
Virtual and in-person at a designated training store, including corporate offices in Dallas, Texas.
Ongoing Support
After opening, Clean Juice franchisees receive ongoing consultation and advice on new product development, store operations and management, advertising, marketing, and financial matters. This support is provided through store visits, meetings, seminars, conferences, and electronic or printed materials. Clean Juice also communicates information about designated suppliers and distributors and administers the Brand Development Fund. Franchisees must participate in an advisory council and may join advertising cooperatives. For technology, Clean Juice requires the use of approved POS systems and other software, including the Lunchbox platform for loyalty programs, mobile apps, and online ordering, and also mandates a managed security service provider. Clean Juice plans to implement Ovation as a customer feedback tool. Franchisees are required to comply with standards for technology, security, and online presence.
Franchise Requirements
Ideal Candidate Profile
Clean Juice seeks qualified candidates, ideally Managing Owners, who hold at least a 10% equity interest in the franchisee entity (if a Business Entity). These individuals must successfully complete initial training and dedicate full-time efforts to managing and operating the business. The franchisor looks for candidates who meet current educational, managerial, financial, and business standards, possess good moral character, have a strong business reputation and credit rating, demonstrate the aptitude and ability to operate the franchise, and have sufficient equity capital.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
full-time
Territory Type
protected
Territory Size Requirements
Clean Juice defines protected areas for single-store franchisees which can vary significantly in size. In densely populated urban areas, a protected area may be as small as an office or retail building. In suburban or less populated areas, these protected areas will likely be larger. These areas are described in terms of a radius around the store or a geographic area identified on a map. For multi-unit development, the Store Development Area will be identified on an attachment and may be described by cities, counties, states, or other designations.