Risk Score
Pending analysis
Investment Range
$71,550 - $118,800
Franchise Fee
$29,900
Total US Locations
60
Business Summary
GRASONS® businesses specialize in providing estate sale and business liquidation services. GRASONS® helps individuals sell personal property due to major life events like moving or death, and assists commercial enterprises in liquidating business assets when they close or relocate. These services involve facilitating sales of various properties and assets for clients.
Corporate History
B & P Burke, LLC was originally incorporated as a California corporation on May 8, 2014, and later converted to a limited liability company on November 16, 2022. GRASONS® began offering franchises in November 2014. The company focuses solely on offering GRASONS® franchises and administering the franchise system, and has never directly owned or operated a GRASONS® business. In November 2021, The Riverside Company, a global private equity firm, indirectly acquired the GRASONS® franchise system.
Financial Overview
Investment Range
$71,550 - $118,800
Franchise Fee (Low)
$29,900
Franchise Fee (High)
$49,900
Royalty %
6.5%
Marketing %
2%
Equipment Costs (Low)
$450
Equipment Costs (High)
$8,900
Working Capital
$18,750
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The FDD explicitly highlights a special risk, stating that the franchisor's financial condition, as reflected in its financial statements, calls into question GRASONS®'s financial ability to provide services and support to its franchisees. This indicates significant financial concerns regarding GRASONS®'s capacity to support its franchise system.
Financing Details
GRASONS® does not offer any direct or indirect financing to its franchisees. Franchisees are responsible for securing their own funding, and GRASONS® does not guarantee any loans, leases, or other financial obligations.
Performance Metrics
Total US Locations
60
Franchised Units
61
Corporate Units
0
Franchising Since
2014
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
GRASONS® has one disclosed litigation. In 2016, an affiliate's predecessor, The Brothers Franchising, Corp., entered into a settlement order with the Commonwealth of Virginia. This related to an unregistered sale of a franchise territory for The Brothers That Just Do Gutters to the father of the co-founders. The settlement required a $2,000 penalty, $500 for investigation costs, and prohibited future violations of Virginia's Retail Franchising Act.
Bankruptcy History
GRASONS® has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew, GRASONS® franchisees must not be in default of their agreement and must provide timely notice to the franchisor. They must sign the franchisor's then-current form of franchise agreement, which may have different terms, and also execute a general release (subject to state law). Additionally, franchisees need to pay a renewal fee and ensure their business conforms to the current standards for new franchisees. They must also have met the Minimum Performance Criteria outlined in their Franchise Agreement.
Training & Support Program
Franchisor Assistance
GRASONS® provides pre-opening support including access to its operating manual and an initial training program. Franchisees can request a review of their business plan and financial projections, and GRASONS® will advise on their market introduction plan. Upon request, GRASONS® offers two days of on-site support when the business opens and provides an initial equipment package at no charge. After opening, GRASONS® offers advice via phone or email for improving the business and resolving operational issues, if requested. It also provides recommended administrative, accounting, and inventory control procedures, as well as pricing recommendations. GRASONS® manages the Brand Fund and maintains the GRASONS® website, which includes franchisee information.
Initial Training Hours
46
Training Location
Huntington Beach, California
Ongoing Support
After opening, GRASONS® provides ongoing advice and support to franchisees via telephone or electronic communication for business improvement and problem-solving, as deemed reasonable by the franchisor. Onsite support is available upon request but may incur a fee plus travel expenses. GRASONS® also provides recommended administrative, accounting, and inventory control procedures, as well as pricing recommendations. GRASONS® manages the Brand Fund and maintains the brand's website, which includes franchisee information. While GRASONS® may offer ongoing training programs, it does not currently conduct refresher or supplemental courses, but it does intend to hold an annual franchisee conference which the Operating Principal must attend.
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
Full-Time
Territory Type
Protected
Territory Size Requirements
GRASONS® territories are defined by geographic boundaries such as zip codes, county or city lines, or other specified borders. Each territory includes a minimum population of 300,000 people, with typical territories ranging from 400,000 to 440,000 people. The population is determined using current census data and territory mapping software at the time the territory is designated.
Staffing Notes
GRASONS® franchisees are solely responsible for all hiring and employment matters. While the franchisor does not specify a minimum staff count, it is anticipated that the franchisee, as the Operating Principal, will manage the business. Franchisees may hire one or more general managers to assist the Operating Principal, who must successfully complete all required training and sign a Brand Protection Agreement. GRASONS® does not impose other restrictions on hiring general managers or require them to have an ownership interest in the franchise.