Mr Brews Taphouse Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$501,500 - $962,000
Franchise Fee
$20,000
Total US Locations
13
Business Summary
Mr Brews Taphouse Restaurants are casual, family-friendly eateries that specialize in offering a wide selection of craft beers alongside high-quality hamburgers served on fresh bakery buns, along with other food and beverage options.
Corporate History
Mr Brews Taphouse International, LLC was formed in Wisconsin on September 22, 2015. The company launched its franchising program in October 2015 for Mr Brews Taphouse® Restaurants. Although Mr Brews International, LLC does not own or operate any restaurants directly, an affiliate, Mr Brews Taphouse Holdings, LLC, which was formed in 2013, owns the trademarks and licensed them to Mr Brews International, LLC for the franchise program. This affiliate also owns and operates three Mr Brews Restaurants in Wisconsin, with the first opening in December 2013.
Financial Overview
Investment Range
$501,500 - $962,000
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$45,000
Royalty %
5%
Marketing %
1%
Equipment Costs (Low)
$315,000
Equipment Costs (High)
$690,000
Working Capital
$80,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The financial statements for Mr Brews Taphouse International, LLC indicate a Members' Deficit (negative equity) of $(50,906) in 2024 and $(119,290) in 2023, meaning total liabilities exceeded total assets in both years. While the company reported a net income of $68,384 in 2024, it experienced a net loss of $11,161 in 2023 and negative cash flow from operations in 2024. Despite these figures, the auditors have issued an Unqualified opinion and have not raised a going concern qualification regarding the company's ability to continue operations.
Financing Details
Mr Brews Taphouse International, LLC does not offer any direct or indirect financing to its franchisees and does not guarantee any notes, leases, or other obligations.
Performance Metrics
Total US Locations
13
Franchised Units
10
Corporate Units
3
Avg Square Footage
2,500
Franchising Since
2015
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Mr Brews Taphouse International, LLC has no litigation history to report. Item 3 of the FDD states that no litigation is required to be disclosed for the company.
Bankruptcy History
Mr Brews Taphouse International, LLC has no bankruptcy history to report. Item 4 of the FDD states that no bankruptcy information is required to be disclosed for the company or its executives.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Mr Brews Taphouse International, LLC franchisees must provide 180 days advance written notice of their intent to renew. They must be in full compliance with all material terms and conditions of their current Franchise Agreement, including having paid all monetary obligations. Franchisees must also agree in writing to remodel their location to meet current Mr Brews Taphouse® image, décor, and specifications, and must have the right to continue occupying the franchised location for the renewal term. They are required to sign a joint and mutual release with Mr Brews Taphouse International, LLC, execute the then-current standard Franchise Agreement (paying a Reacquisition Fee of 10% of the initial fee in the new agreement, with royalty rates remaining from the original agreement but other fees at current rates), and ensure that they and their employees complete any required training.
Training & Support Program
Franchisor Assistance
Before opening, Mr Brews Taphouse International, LLC helps franchisees by reviewing proposed sites and leases, providing standard plans and specifications for restaurant construction, and delivering an electronic Operations Manual. Mr Brews Taphouse International, LLC trains the franchisee and their Management Staff for a minimum of 15 days in or near Menomonee Falls, Wisconsin. It also dispatches an Opening Team to the restaurant for 9 days to assist with system implementation and staff training. Additionally, Mr Brews Taphouse International, LLC provides a written schedule of required food, beverages, and equipment, a list of designated and approved suppliers, approves computer and point-of-sale systems, and spends at least $2,500 on grand opening advertising. After opening, Mr Brews Taphouse International, LLC provides additional training if new Management Staff is hired or if deemed necessary. It offers basic restaurant-level sales and cost accounting procedures, general marketing recommendations, and approval for local advertising. Franchisees contribute to and benefit from a Marketing Fund administered by Mr Brews Taphouse International, LLC. The franchisor conducts periodic restaurant visits, provides written reports if appropriate, legally protects trademarks, may develop new trademarks, offers advisory services by telephone or in writing, provides sample menus and updates, and furnishes updates to the Operations Manual. Consulting assistance at the franchised location is available upon request, with the franchisee covering the consultant's travel and per-diem fees.
Initial Training Hours
140
Training Location
Mr Brews Restaurant in or near Menomonee Falls, Wisconsin
Ongoing Support
After opening, Mr Brews Taphouse International, LLC provides additional training if new management staff is hired or if Mr Brews determines it's necessary. It makes available basic restaurant-level sales and cost accounting and business procedures, offers general marketing recommendations and approves local advertising, maintains a Marketing Fund, periodically visits and reviews restaurants, legally protects its trademarks and system, develops and registers new trademarks, provides advisory services by telephone or in writing, furnishes sample menus and modifications, and supplies updates to the Operations Manual. Consultants can also be sent to the franchised location for training, assistance, and advice upon request, for which the franchisee pays a fee and travel expenses.
Franchise Requirements
Ideal Candidate Profile
Mr Brews Taphouse recommends that franchisees personally participate in the direct operation of their Restaurant, although it is not strictly required. For individuals interested in taking over an existing Mr Brews Taphouse location, the franchisor looks for assignees who meet specific managerial, financial, and business standards. These candidates should possess a good business reputation and credit rating, and their management team must demonstrate the aptitude and ability to operate a Mr Brews Taphouse Restaurant in an economic and businesslike manner, which can be evidenced by prior related business experience or other relevant qualifications. Owners of the franchisee entity are required to sign a confidentiality and non-competition agreement.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Supervisory
Territory Type
Non-Exclusive
Territory Size Requirements
Mr Brews Taphouse International, LLC defines a franchisee's designated area as a specified radius around the franchised location, with a population of approximately 25,000 people based on the 2010 U.S. census.
Staffing Notes
Mr Brews Taphouse International, LLC requires that each restaurant maintain a sufficient number of adequately trained and competent service, kitchen, and other personnel on duty to ensure efficient customer service. During business hours, a General Manager and a Kitchen Manager, who together form the Management Staff, must be on duty to supervise operations. All employees must meet appearance standards and wear designated uniforms. The General Manager and Kitchen Manager must attend and successfully complete Mr Brews Taphouse International, LLC's training program, and the General Manager must also sign a confidentiality and noncompetition agreement. The General Manager is not required to have an ownership interest in the franchise.