About Cleavers Franchise
Cleavers is a restaurant franchise concept offering franchise opportunities since 2024.
The brand brings a bold, butcher inspired dining experience focused on premium quality meats, burgers, and comfort food favorites.
Each location combines a straightforward menu with a distinctive atmosphere that celebrates the craft of quality meat preparation.
Cleavers Franchise Cost & Fees
Minimum Investment
$372K
Average Investment
$524K
Maximum Investment
$676K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 5% of weekly Gross Revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of weekly Gross Revenue | National brand fund |
| Total Investment Range | $372,300 – $675,500 | Includes build-out, inventory, working capital |
The investment range of $372K–$676K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of weekly Gross Revenue) and marketing fee (1% of weekly Gross Revenue) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Leasehold Improvements | $100,000 | $300,000 |
| Furniture, Fixtures, Equipment, & Supplies | $150,000 | $200,000 |
| Signage | $8,000 | $10,000 |
| Computer System | $2,500 | $5,000 |
| Security System | $500 | $1,500 |
| Initial Inventory | $8,000 | $12,000 |
| Office Equipment & Supplies | $1,500 | $2,500 |
| Lease Deposits | $8,000 | $15,000 |
| Utility Deposits | $1,500 | $2,500 |
| Insurance (3 months) | $1,800 | $3,000 |
| Training Expenses | $6,000 | $10,000 |
| Grand Opening Marketing | $10,000 | $10,000 |
| Professional Fees | $2,500 | $5,000 |
| Business Permits and Licenses | $2,000 | $4,000 |
| Design & Architect Fees | $10,000 | $15,000 |
| Additional Funds (3 months) | $20,000 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of the then-current franchise fee |
| Renewal Fee | $0 for the initial successor agreement; 20% of the then-current initial franchise fee for any subsequent successor agreement |
| Technology Fee | $250 per month |
| Audit Fee | Costs of examination plus related expenses |
| Required Minimum Expenditure for Local Marketing and Advertising | Minimum of 1% of monthly Gross Revenue |
| Initial Training (additional trainees) | $2,500 per person |
| Additional Training (optional) | $500 per person per day |
| Remedial Training | $500 per person per day plus expenses |
| Advertising Cooperative Fees | Not to exceed one-half of the Local Advertising requirement |
| Late Fee | $75 |
| Interest | 18% per annum, from due date, or maximum allowed by law |
| Insufficient Funds Fee | $100 per violation |
| Transfer Fee – Multi-Unit Development Agreement | 50% of the then-current initial franchise fee (25% for existing developer/franchisee; waived for transfers among existing owners). Multiplied by number of undeveloped outlets. |
| Relocation Fee | $5,000 |
| Testing or Supplier Approval Fee | $500 plus actual cost of inspection and testing |
| Audit and Quality Assurance Fees | Not to exceed $150/month |
| Reimbursement of Legal Fees and Expenses | Our costs and expenses, including but not limited to attorneys’ fees |
| Interim Management Fee | 10% of Gross Revenue, plus travel and other expenses |
| Examination of Books and Records | Costs of examination plus related expenses |
| Accounting Services | Actual costs |
| Indemnification | Amount of loss or damages plus costs |
| Reimbursement of Costs and Expenses for Non-Compliance | Actual costs and expenses |
| Post-Termination or Post-Expiration Expenses | Costs and expenses |
| Confidential Operating Manual Replacement Fee | $250, or our then-current fee |
| Insurance Reimbursement | Amount paid by us for your insurance obligations, plus an additional fifteen percent (15%) administrative fee |
| Taxes | Amount of taxes |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 90 hours |
| Classroom Training | 23 hours |
| On-the-Job Training | 67 hours |
| Training Location | Philadelphia, Pennsylvania |
| Additional Training | Franchisor may offer mandatory and/or optional additional training programs from time to time. If required by Franchisor, Franchisee, or Franchisee’s principals shall participate in on-going training at a location designated by Franchisor and a national business meeting or annual convention at a location designated by Franchisor. The total amount of required ongoing training and/or annual meetings will be ten (10) days or less per year. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Description | Under the Franchise Agreement, you have the right to establish and operate one Cleavers Philadelphia outlet within a territory that will be defined after the location of your Cleavers Philadelphia outlet is identified and approved by us. Your Territory is located in all or a portion of a listed town, city, or county, and is identified by a group of contiguous zip codes. The Territory is determined on an individual basis taking into account minimum numbers of households, average home prices and household incomes and/or daytime/nighttime populations. We will not grant another franchise or open a company or affiliate-owned restaurant in the Territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 2 additional terms of 5 years each |
| Renewal Fee | $0 for the initial successor agreement; 20% of the then-current initial franchise fee for any subsequent successor agreement |
| Renewal Conditions | Be in full compliance, have no more than 3 events of default during current term, provide written notice to us at least 6 months before the end of the term, execute a new franchise agreement, pay us the Successor Agreement Fee, continue to have the right to occupy the premises or have received approval from us to relocate, remodel your Franchised Business location, execute a general release, comply with then-current qualifications and training requirements, including completion of additional training. You may be asked to sign a new Franchise Agreement with materially different terms and conditions than your original Franchise Agreement. |
| Transfer Fee | 50% of the then-current initial franchise fee. For transfers to: (i) an existing franchisee in good standing, the transfer fee is 25% of the then-current initial franchise fee, (ii) an entity owned and controlled by the franchisee for convenience purposes or for transfers among owners that does not change management control, the transfer fee is waived. |
| Transfer Conditions | Transferee must meet franchisor's then-applicable standards for franchisees, have sufficient business experience and financial resources, complete Initial Management Training Program, franchisee must have paid all amounts owed, transferee executes franchisor’s then-standard franchise agreement (without initial fee), transferee agrees to renovate/refurbish, franchisee and transferee execute a general release, franchisee subordinates claims against transferee, franchisee indemnifies franchisor for 3 years, franchisor approves material terms, landlord consents to lease assignment. |
| Termination for Cause | Franchisor may terminate if franchisee defaults. Curable defaults (e.g., non-payment, non-monetary obligations) have a 5-day cure period. Non-curable defaults include insolvency, bankruptcy, falsifying reports, ceasing operations for 5+ days, losing possession of premises, failure to restore business after casualty, non-compliance with laws, lease defaults, repeated understatement of Gross Revenue, insurance non-compliance, unauthorized transfers, failure to transfer upon death/disability, material misrepresentation, felony conviction, adverse judgment for fraud/racketeering, concealing revenues, creating public health/safety threat, refusing inspection/audit, unauthorized use of Marks/Confidential Information, non-compliance with non-compete, repeated defaults (3+ times or 2+ notices in 12 months), insufficient funds (2+ times in 12 months), default under other agreements, or termination without cause. |
| Non-Compete Period | 24 months |
| Non-Compete Details | During the term, franchisee may not divert customers, participate in any competing business, or harm goodwill. After termination/expiration, for 24 months, franchisee may not divert customers or participate in any competing business within 10 miles of the former Cleavers Philadelphia outlet location or any other Cleavers Philadelphia outlet location. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | The Franchise Agreement does not require that you personally supervise your Cleavers Philadelphia outlet, although we recommend it. Your Cleavers Philadelphia outlet must be directly supervised by a general manager. Your general manager can either be you or someone appointed by you who is acceptable to us. Your general manager must successfully complete our Initial Management Training Program and all other training courses we require. Your general manager must devote full time to the job and cannot have an interest or business relationship with any of our competitors. If the franchisee is a business entity, your general manager is not required to have an equity interest in the franchisee entity. |
| Required Suppliers | You must purchase all items outlined in the Operations Manual and any equipment or materials bearing the Marks in accordance with our specifications. You must also purchase your ingredients, prepped and/or packaged foods, paper/disposable goods, equipment, and furnishings from our designated suppliers and contractors. We maintain written lists of approved items of equipment, fixtures, inventory and suppliers (by brand name and/or by standards and specifications) and a list of designated suppliers and contractors for those items. |
| Supply Restrictions | You must purchase and use the hardware, software, and computer platforms we specify. Current hardware and software includes a general purpose computer or laptop, multi-function laser printer/scanner/copier, High Speed Internet, point of sale system (“POS System”), QuickBooks Online, and ADP. You are required to use ADP for payroll and HR. We estimate that your purchase or lease of products, supplies and services from approved suppliers (or those which meet our specifications) will represent approximately 95% of your costs to establish your Franchised Business and approximately 75% of your costs for ongoing operation. |
| Franchisor Revenue from Suppliers | $0.00 |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee any note, lease, or obligation on your behalf. |
Cleavers Franchise Earnings — Item 19
Cleavers does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Cleavers does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Cleavers Litigation & Risk Flags
Clean Litigation RecordCleavers has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cleavers System Growth
Total Units
1
Franchised
0
Company-Owned
1
Cleavers currently operates 0 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 0 | 1 |
| 2022 | 0 | 0 | 1 |
| 2023 | 0 | 0 | 1 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 16 states: CA, CT, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Net Income
$-3
Total Assets
$2K
Audited by Unaudited for year ending December 31st.
Cleavers Franchise — FAQ
The total investment to open a Cleavers franchise ranges from $372,300 to $675,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Cleavers charges a royalty fee of 5% of weekly Gross Revenue of gross sales, plus a 1% of weekly Gross Revenue contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Cleavers Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Cleavers to ensure you have the most up-to-date version.
Cleavers does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Cleavers has been franchising since 2024. The FDD shows an investment range of $372,300-$675,500, a 5% of weekly Gross Revenue royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $372,300 to $675,500 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Cleavers and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Cleavers or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com