What was the lowest annual Gross Sales for a Fat Shack franchisee-owned unit in 2024?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
| Number of Units in Group | Average Unit Sales | Number and Percentage of Units that met or exceeded the average sales | High | Median | Low | |
|---|---|---|---|---|---|---|
| 5 | $611,795 | 2 | 40.0% | $858,239 | $610,849 | $388,244 |
Source: Item 19 — Financial Performance Representations (FDD pages 46–49)
What This Means (2025 FDD)
According to Fat Shack's 2025 Franchise Disclosure Document, the lowest annual Gross Sales for a franchisee-owned unit in 2024 was $388,244. This data is based on the performance of 22 franchisee-owned units that operated for the entire calendar year. It's important to note that this figure represents the lowest sales among the units included in the financial performance representation and that some units have sold these amounts.
This information is valuable for prospective franchisees as it provides a range of potential sales outcomes based on existing Fat Shack locations. However, the FDD cautions that individual results may differ, and there is no assurance that a new franchisee will achieve the same level of sales. Factors such as location, management skills, local market conditions, and competition can significantly impact a unit's financial performance.
It is also important to consider that the Gross Sales figures do not reflect the costs of goods sold, operating expenses, or net profit. A prospective franchisee should carefully review Items 5, 6, and 7 of the FDD to understand the fees and expenses associated with operating a Fat Shack franchise. Additionally, the FDD emphasizes that the sales reports used to compile this data have not been reviewed or audited by an independent accountant.
Given these considerations, potential franchisees should conduct thorough due diligence, including reviewing the complete Item 19 disclosures, seeking professional financial advice, and potentially visiting existing Fat Shack locations to gain a more comprehensive understanding of the potential financial performance of a franchise.