Ubatuba Açai Bowls Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$199,500 - $436,000
Franchise Fee
$20,000
Total US Locations
19
Business Summary
UBATUBA AÇAI BOWLS® Cafes specialize in offering a unique variety of high-quality, healthy Açai bowls, invigorating smoothies, delicious empanadas, and other healthy food options. The cafes use the UBATUBA AÇAI BOWLS trademark and other designated marks, following a system developed by the founder in 2013. These cafes typically operate in multi-tenant retail locations, ranging from 700 to 1,400 square feet, and feature a clean, brightly colored atmosphere with well-trained, personable staff.
Corporate History
The UBATUBA AÇAI BOWLS® system was founded and developed by Daniela Demetrio starting in May 2013. Ubatuba Açai Expansion, LLC was formally established as a California limited liability company on July 18, 2016, to franchise and administer businesses using the UBATUBA AÇAI BOWLS mark. The company began offering franchises for its cafes in September 2016. Its commonly owned entities currently operate seventeen company-owned cafes in Southern California.
Financial Overview
Investment Range
$199,500 - $436,000
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$20,000
Royalty %
5%
Equipment Costs (Low)
$85,000
Equipment Costs (High)
$200,000
Working Capital
$75,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
UBATUBA AÇAI EXPANSION, LLC is in a strong financial position, as indicated by its audited financial statements, which received an unqualified opinion from the independent accountant. The company consistently reports positive net income, which has shown growth over the past three fiscal years, increasing from $37,734 in 2021 to $62,880 in 2023. UBATUBA AÇAI EXPANSION, LLC's balance sheet shows a healthy and increasing cash balance, reaching $194,411 by the end of 2023, and reports no current or non-current liabilities, resulting in substantial owner's equity. There are no concerns raised regarding the company's ability to continue as a going concern.
Financing Details
Ubatuba Açai Expansion, LLC does not offer any direct or indirect financing to its franchisees. The franchisor also does not guarantee any notes, leases, or other obligations for franchisees. However, Ubatuba Açai Expansion, LLC is registered with the SBA Franchise Registry, which may help franchisees obtain expedited processing for Small Business Administration (SBA) financing if they choose to pursue it.
Performance Metrics
Total US Locations
19
Franchised Units
2
Corporate Units
17
Avg Square Footage
1,050
Franchising Since
2016
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
UBATUBA AÇAI EXPANSION, LLC has no litigation to report. Item 3 of the Franchise Disclosure Document explicitly states that no litigation is required to be disclosed for the company.
Bankruptcy History
UBATUBA AÇAI EXPANSION, LLC has no bankruptcy history to report. Item 4 of the Franchise Disclosure Document explicitly states that no bankruptcy information is required to be disclosed for the company.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, Ubatuba Açai Expansion, LLC franchisees must provide written notice of their intent to renew between 6 and 12 months before the current term ends. They must have maintained good standing, with no defaults during the last 12 months and consistent compliance with all agreements throughout the current term. All monetary obligations to the franchisor, its affiliates, and approved suppliers must be satisfied. Franchisees are also required to complete any additional training, implement requested personnel changes, modernize the cafe and its equipment, pay a renewal fee equal to 25% of the then-current initial franchise fee, and sign a new franchise agreement along with a general release of claims.
Training & Support Program
Franchisor Assistance
Before opening, Ubatuba Açai Expansion, LLC provides franchisees with a copy of its confidential Manual and conducts an operations training course for the franchisee and their designated operator. The franchisor also assists with site selection and approval of cafe plans, helps develop an initial marketing program for the grand opening, and advises on opening and initial operations. After opening, Ubatuba Açai Expansion, LLC offers ongoing advice and assistance, including periodic visits from representatives. It makes additional training programs available as needed, assists with grand opening planning, and may develop and administer advertising and promotion programs for the entire system, including a Marketing Fund when established. The franchisor also conducts periodic calls or inspection visits and includes franchisee cafe information on its website.
Initial Training Hours
133
Training Location
Company Cafes in California
Ongoing Support
After opening, Ubatuba Açai Expansion, LLC provides ongoing assistance through periodic visits from its representatives. They will advise and assist franchisees with operations, particularly during the first month of business. The franchisor also makes additional training programs available as deemed appropriate. They will assist franchisees in planning for their cafe's grand opening and may develop and administer advertising and promotion programs to benefit all cafes. When established, Ubatuba Açai Expansion, LLC will administer a System Marketing Fund. The franchisor will also make periodic calls or inspection visits to the cafe and include information about the franchisee's cafe on its website.
Franchise Requirements
Ideal Candidate Profile
Ubatuba Açai Expansion, LLC seeks franchisees who are either single-unit operators or multi-unit area developers. For single-unit operations, the franchisee or their designated operator must be an experienced food professional with multi-unit supervisory experience, committed to full-time, hands-on daily operation of the Ubatuba Açai Cafe. This individual must successfully complete Ubatuba Açai's initial training program and any additional in-store assignments. For multi-unit developers, the ideal candidate possesses expertise, financial resources, and local marketing knowledge to open and operate multiple Cafes according to a development schedule. All owners are subject to approval and must personally guarantee the franchise agreement. Neither the franchisee nor their designated operator may have an interest or business relationship with any of Ubatuba Açai's business competitors. The franchisor expects candidates to diligently promote their business, maintain high standards of cleanliness and service, and comply with all operational and legal requirements.
Industry Experience Required
Yes
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Full-Time
Territory Type
Protected
Staff Count
9
Territory Size Requirements
Ubatuba Açai Expansion, LLC provides franchisees with a protected territory where the franchisor agrees not to establish another UBATUBA AÇAI BOWLS Cafe within one-half mile (0.5 miles) of the franchisee's location. This protection applies unless the cafe is in a designated 'high-density area.' For high-density areas, the specific territorial protection will be mutually agreed upon.
Staffing Notes
Each UBATUBA AÇAI BOWLS Cafe typically employs between 4 to 14 part-time and full-time individuals. Franchisees are solely responsible for all employment decisions, including hiring, firing, training, setting wages, and complying with labor laws. Each cafe must have an on-site manager who is approved and certified by Ubatuba Açai Expansion, LLC. Franchisees must ensure their employees maintain good customer relations and provide competent, courteous service. For California franchisees, there's an additional requirement to comply with the California Fast Food Council (CFFC) regulations (AB 1228), which authorizes the council to set minimum wages and working standards for fast food employees in chains with more than 60 establishments.