Oakberry Acai logo

Oakberry Acai Franchise

Audited Financials
Food and BeverageEst. 2016Miami, FL
www.oakberryfranchise.com

Risk Score

Pending analysis

Investment Range

$65,000 - $300,000

Franchise Fee

$30,000

Total US Locations

39

Business Summary

Oakberry USA LLC operates retail stores, known as Oakberry Stores, that specialize in selling acai sorbets, smoothies, and other food and beverage products to the general public. The company utilizes a unique business format and system for the establishment, management, and operation of these stores, which includes distinctive interior and exterior designs, standardized operational procedures, quality control, training, and advertising programs.

Corporate History

Oakberry Acai Inc., the parent company of Oakberry USA LLC, was organized in Florida in April 2016. Oakberry USA LLC itself was organized in Delaware in February 2022. Oakberry USA LLC began offering franchises in July 2022. Oakberry stores sell acai sorbets, smoothies, and other approved food and beverage products to the general public, utilizing a proprietary business system.

Financial Overview

Investment Range

$65,000 - $300,000

Franchise Fee (Low)

$30,000

Franchise Fee (High)

$30,000

Royalty %

6%

Equipment Costs (Low)

$15,000

Equipment Costs (High)

$182,000

Working Capital

$20,000

Audited Financials

Yes

Offers Financing

No

Financial Health Notes

Oakberry USA LLC's financial condition, as reflected in its financial statements, calls into question the franchisor's financial ability to provide services and support to its franchisees.

Financing Details

Oakberry USA LLC does not offer any financing, either directly or indirectly. The franchisor also does not guarantee any franchisee's notes, leases, or other obligations.

Performance Metrics

Total US Locations

39

Franchised Units

24

Corporate Units

15

Avg Square Footage

300

Franchising Since

2022

Agreement Terms

Initial Term

5 years

Renewal Term

5 years

Renewal Conditions

To renew with Oakberry USA LLC, franchisees must provide proper notice between six and twelve months before the current term ends, be in good standing with no uncured defaults, ensure they have the right to occupy their current location, modernize their Oakberry Store to meet current brand standards, including new products and services, sign Oakberry USA LLC's then-current franchise agreement (which may have different terms and fees), comply with current qualification and training requirements, and pay a renewal fee equal to the initial franchise fee at the time of renewal. Franchisees must also execute a general release of claims against Oakberry USA LLC and its affiliates.

Training & Support Program

Franchisor Assistance

Oakberry USA LLC provides initial training, which is mandatory for the franchisee's Operating Principal and initial manager, at no cost, though franchisees cover their own travel, lodging, meals, and wages. The franchisor may also provide on-site assistance and supervision during the grand opening, with franchisees reimbursing travel, lodging, and food expenses. Before opening, Oakberry USA LLC assists with location approval, requiring demographic and site plan information, financial projections, and approving the lease. The franchisor provides design and specification guidelines for construction and renovation, conducts inspections, and gives final approval before opening. Ongoing support includes notifications of product and service changes, additional training for new managers, optional meetings and seminars, regular store inspections, advice on operations and new developments, suggested retail prices and menus, and local advertising and promotional materials.

Initial Training Hours

30

Training Location

Oakberry Headquarters Miami, Florida

Ongoing Support

After opening, Oakberry USA LLC provides ongoing support to franchisees by notifying them of any changes to products, services, or pricing. It also offers additional training programs for successor and replacement managers and conducts optional meetings and seminars for franchisees. Oakberry USA LLC inspects and evaluates stores to maintain high standards, provides advice and written materials on managing operations, including new equipment, products, and systems, and offers suggested retail prices and menus. Additionally, Oakberry USA LLC may provide local advertising and promotional plans and materials and offers general continuing advisory assistance in the operation of the Oakberry Store.

Franchise Requirements

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

Oakberry USA LLC expects the designated territory to typically be a one-mile radius around the Oakberry Store. However, the exact size is determined based on various factors such as the type of franchised Oakberry Store, population base, growth trends, demographics, density of residential and business entities, traffic generators, driving times, major topographical features, consumer trading patterns, and distance between other Oakberry stores. There is no minimum territory granted to a franchisee.

Staffing Notes

Oakberry USA LLC requires that the Oakberry Store be managed by either the franchisee, their Operating Principal, or a fully-trained manager who devotes their full time and best efforts to the business. The franchisee or Operating Principal is not required to be full-time in the store unless they are acting as the manager, but it is recommended that either they or the manager always supervise the Oakberry Store. The manager must be qualified, experienced, and successfully complete the required initial training program. The manager is not required to have an equity interest in the franchise.