The Casual Pint Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$998,800 - $1,459,200
Franchise Fee
$29,625
Min Cash Required
$20,500
Total US Locations
20
Business Summary
The Casual Pint operates craft beer beerstros, which are upscale establishments specializing in curated craft beer experiences. The Casual Pint offers a wide variety of craft beers on tap, wine, spirits, and over 200 varieties of packaged craft beers, including crowlers and growlers for take-home. Additionally, The Casual Pint provides a full food menu designed to complement its beverage offerings, utilizing state-of-the-art, hoodless kitchen equipment to ensure seamless and cost-effective food operations. The Casual Pint aims to be a distinct alternative to typical bars and restaurants, providing a relaxed, casual, and family-friendly atmosphere.
Corporate History
Casual Pint Franchising, Inc. was founded in 2013 as a Tennessee Corporation by Jon Robinette, who is also its primary shareholder. The company began offering franchises in October 2013. The Casual Pint has an affiliate, The Casual Pint, Inc., which was organized in 2011 and initially operated two company-owned stores in Knoxville, Tennessee. One of these locations was sold to a third party and converted into a franchise in 2014. The original location of The Casual Pint, Inc. closed in October 2021, and the affiliate plans to acquire an existing franchise location in Knoxville in Q2 2022 to operate as a company-owned store. The Casual Pint, Inc. owns the trademark "Casual Pint" and grants Casual Pint Franchising, Inc. an exclusive license to sublicense it to franchisees.
Financial Overview
Investment Range
$998,800 - $1,459,200
Franchise Fee (Low)
$29,625
Franchise Fee (High)
$39,500
Minimum Cash Required
$20,500
Royalty %
5%
Marketing %
1%
Equipment Costs (Low)
$803,500
Equipment Costs (High)
$1,160,000
Working Capital
$38,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The Casual Pint Franchising, Inc. reports varied financial performance over the past three years. The company experienced net losses in 2019 ($22,029) and 2020 ($125,111). However, in 2021, the company saw a significant improvement, reporting a net income of $204,411. This positive change in 2021 was partly due to the forgiveness of $127,200 in Paycheck Protection Program (PPP) loans, which was recognized as other income. The company's cash balance also substantially increased from $31,058 in 2019 to $555,703 in 2021. The Casual Pint Franchising, Inc. also provides working capital to its affiliate, The Casual Pint, Inc., with a note receivable balance of $345,617 as of December 31, 2021. Auditors have issued an unqualified opinion on the financial statements, and there are no going concern qualifications noted.
Financing Details
The Casual Pint does not offer any direct or indirect financing to its franchisees, nor does it guarantee any notes, leases, or other obligations. Franchisees are responsible for arranging their own financing through third-party sources.
Performance Metrics
Total US Locations
20
Franchised Units
20
Corporate Units
0
Avg Square Footage
2,850
Franchising Since
2013
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
Casual Pint Franchising, Inc. has disclosed one arbitration case filed in April 2017 by former franchisees who claimed misleading or false statements were made in connection with their franchise sale. The franchised business was struggling, and the parties mutually terminated the agreement. The case was settled in December 2017, with the franchisor and its related individuals agreeing to pay the plaintiffs a total of $100,000 over five years. As of the FDD's publication, Casual Pint Franchising, Inc. states that the legal obligation from this settlement has been fulfilled by all parties, and no other litigation is required to be disclosed.
Bankruptcy History
Casual Pint Franchising, Inc. has no bankruptcy history to disclose.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, Casual Pint franchisees must give proper notice, complete renovation of their premises to meet current standards, fully comply with the Franchise Agreement and all other related agreements, execute a new Franchise Agreement, sign a general release, and pay a renewal fee equal to 10% of the then-current initial franchise fee. The terms of the new agreement may differ from the original, but the exclusive territory and the continuing royalty rate will not be greater than those imposed on similarly situated renewing franchisees.
Training & Support Program
Franchisor Assistance
Casual Pint Franchising, Inc. provides franchisees with pre-opening assistance that includes designating a territory, offering site selection guidelines, reviewing and approving the site, furnishing architectural and design plans, recommending suppliers, and providing access to the Operating Manual. The franchisor also approves all furniture, fixtures, equipment, and supplies, and provides an opening inventory of advertising materials. Initial training is provided for up to two individuals (the franchisee/manager and one additional employee) at no extra charge. After opening, The Casual Pint offers at least five days of on-site assistance during the grand opening and one consultative visit per year. The franchisor also directs Advertising Fund Programs, provides an annual accounting of the Advertising Fund, and defends/indemnifies franchisees for proper use of its Marks. Ongoing training is provided through weekly virtual field business coach sessions, quarterly financial reviews, and annual on-site visits with the Home Office Team.
Initial Training Hours
228
Training Location
Virtual, at a designated Casual Pint location (corporate or existing franchise), and on-site at the franchisee's own location.
Ongoing Support
After opening, Casual Pint franchisees receive ongoing support through weekly virtual field business coach sessions for approximately one hour, continuing at least through the first year of operations. These sessions focus on managing controllable costs, growing the customer base, and maintaining overall business health. Franchisees also receive quarterly virtual financial reviews of their profit and loss statements and balance sheets. An annual on-site visit with the Home Office Team is conducted to recap year one operations, set goals for the next year, and align with long-term objectives. The franchisor also offers continuous training, which may require franchisees to attend annual meetings, with the franchisee responsible for associated travel and living expenses.
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
Absentee Allowed
Territory Type
exclusive
Territory Size Requirements
The Casual Pint grants an exclusive territory that typically consists of the approved location and a geographic area within a non-overlapping 1.5-mile minimum radius and up to a 3-mile radius of the Casual Pint Franchise. The exact size of the exclusive territory may vary based on local market conditions, including demographics, traffic patterns, market penetration of similar businesses, and growth trends, with the franchisor retaining the final judgment on territory size.
Staffing Notes
The Casual Pint Franchising, Inc. provides franchisees with specifications, requirements, and restrictions regarding management and administrative staffing, including the selection, hiring, and training of employees and independent contractors. Franchisees are the sole legal employers of their staff and are responsible for all hiring and personnel matters, as well as indemnifying the franchisor against related claims. Franchisees must serve as, or designate, a Franchise Manager who will have day-to-day management responsibility, on-premises supervision, and personally participate in the direct operation of the franchise for a minimum of 40 hours per week. If a designated Franchise Manager changes, a successor must be named within 10 business days and must successfully complete the Initial Training Program within 45 days of hire. All managers must sign a Confidentiality Agreement.