About VARA Juice Franchise
VARA Juice is a quick-service restaurant franchise offering made-to-order fruit and vegetable smoothies, fruit cups, fruit and vegetable juice blends, iced coffee beverages, and ice cream using fresh ingredients for dine-in or takeout.
Franchisees operate retail restaurant locations serving the public within the vicinity of their franchise location, managing day-to-day operations including food preparation, customer service, inventory management, and local marketing.
The target customers are health-conscious consumers seeking fresh, natural smoothie and juice products.
VARA Juice Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Sales or $350, whichever is greater of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Sales or $138, whichever is greater (Brand Development Fund) | National brand fund |
| Total Investment Range | $236,065 – $634,516 | Includes build-out, inventory, working capital |
The investment range of $236K–$635K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Sales or $350, whichever is greater) and marketing fee (2% of Gross Sales or $138, whichever is greater (Brand Development Fund)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Professional Services | $4,000 | $15,000 |
| Leasehold Improvements | $60,000 | $250,000 |
| Equipment, Fixtures, and Furniture | $37,724 | $93,690 |
| Point-of-Sale (POS) System | $3,636 | $5,232 |
| Permits, Licenses | $7,000 | $15,000 |
| Signage (Indoor/Outdoor) | $4,000 | $20,000 |
| Miscellaneous Travel and Living Expenses while Training | $3,460 | $5,880 |
| Initial Inventory and Operating Supplies | $15,000 | $22,000 |
| Branded Promotional Materials and Uniforms | $1,000 | $3,000 |
| Grand Opening Advertising | $15,000 | $25,000 |
| Initial Lease Payments | $3,900 | $9,000 |
| Insurance | $685 | $1,700 |
| Miscellaneous Pre-opening Expenses | $12,120 | $29,500 |
| Additional Funds (three months) | $43,540 | $114,514 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | 50% of then current Franchise Fee |
| Audit Fee | Franchisor's costs if 2% or greater discrepancy found; $250 plus costs for repeat inspection |
| Minimum Local Advertising | 2% of Gross Sales |
| Repairs and Maintenance | Actual cost if franchisee fails to maintain |
| Renovation and Modernization | Actual cost, not exceeding $10,000 per year since last renovation |
| Insurance | Actual cost if franchisee fails to purchase |
| Additional Training | $350 to $700 per day plus travel, room and board |
| Additional Operations Assistance | $350 to $700 per day plus travel, room and board |
| Late Charge | $50 per late payment |
| Interest on Late Payments | 1.5% per month or maximum rate allowed by law |
| Relocation Fee | $10,000 plus costs |
| Product and Supplier Approval Fee | Actual costs |
| Temporary Management Assistance | Up to $700 per day |
| Liquidated Damages | $250 first violation; $500 second; $1,000 third or more |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 2 weeks |
| Classroom Training | 27 hours |
| On-the-Job Training | 89 hours |
| Training Location | VARA Juice Restaurant in Dearborn or Detroit, Michigan |
| Additional Training | Franchisees and management employees may be required to attend additional training, sales programs, and meetings. Additional training may be conducted at a VARA Juice Restaurant in Detroit, Michigan or by remote/video format. Franchisor provides 1 representative for up to 1 week surrounding opening. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | 1-mile radius from front door of Franchise Location (may be less in densely populated areas) |
| Description | Franchisor will not open or authorize another VARA Juice Restaurant within the Protected Area while agreement is in effect and franchisee is not in default. Exceptions include corporate cafeterias, institutional accounts, offsite events, stadiums, airports, military bases, college campuses, hospitals, indoor regional malls, large office buildings, ghost/virtual kitchens, and similar locations. No exclusive territory granted; rights relate to location only, not exclusivity of marketing or customers. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | 50% of then current Franchise Fee |
| Renewal Conditions | Not in default; no more than 2 default notices in last 12 months; 6-12 months advance written notice; able to maintain possession of location or secure alternative; comply with current appearance/equipment/signage requirements; satisfied reporting and monetary obligations; completed additional training; signed general release; signed then-current franchise agreement; paid renewal fee; comply with current specifications; franchisor approval. |
| Transfer Fee | $10,000 |
| Transfer Conditions | Proposed transferee must follow same application procedures as new franchisee and meet same standards; transfer terms not unreasonably burdensome; franchisee in compliance and all amounts paid; termination and release agreements signed; transferee completes training; transferee signs new or assumes existing franchise agreement; transfer fee paid; comply with current appearance requirements; transferee not competing; subordination agreement if installment payments; landlord permits lease assignment. |
| Termination for Cause | Non-curable defaults: material misrepresentations, fraud, failure to have employees sign confidentiality agreements, criminal conviction, immigration status failure, 2+ default notices for same default in 12 months, 3+ default notices in 12 months, failure to attend 2+ mandatory meetings in 12 months, abandonment, substance abuse, conduct reflecting adversely on marks, lease termination, loss of location rights, 3+ liquidated damages in calendar year, defaults under other agreements with no cure opportunity. Curable defaults: 10 days for monetary, 30 days for other defaults. |
| Non-Compete Period | 2 years |
| Non-Compete Details | No competing business for 2 years within (i) the Franchise Location, (ii) 25 miles of the Franchise Location, and (iii) 25 miles of any other VARA Juice Restaurant existing or in development. Competing Business defined as any food service business with menu substantially featuring smoothies, juice blends, ice cream, coffee beverages, or similar foods/beverages. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | At least one Designated Owner must preserve and exercise ultimate authority and responsibility for management and operation. A General Manager must devote full time and effort to day-to-day active management. If Designated Owner is not the General Manager, the General Manager must be under direct supervision of a Designated Owner. General Manager must complete initial training program. |
| Required Suppliers | POS system, advertising and marketing materials, blenders, cups, salad bar equipment, and certain food inventory must be purchased from Designated Suppliers. Affiliate VJ Distribution Center, Inc. is a Designated Supplier for certain food inventory. |
| Supply Restrictions | All products and services used in development and operation must be purchased in accordance with franchisor specifications and from Designated or Approved Suppliers. 90-100% of establishment purchases and 35-45% of operating purchases from designated/approved sources. |
| Franchisor Revenue from Suppliers | VJ Distribution Center received $1,468,289 in total revenue from required purchases by franchisees in fiscal year ending December 31, 2024. Franchisor has right to receive rebates or other fees from designated or approved suppliers. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Franchisor does not offer direct or indirect financing. Does not guarantee any notes, leases or other obligations. |
VARA Juice Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
VARA Juice Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
VARA Juice System Growth
VARA Juice currently operates 9 franchised locations and 3 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 4 |
| 2023 | 5 | 2 | 7 |
| 2024 | 5 | 0 | 12 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 14 states: CA, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Independent auditor (Glen Allen, Virginia) for year ending December 31.
VARA Juice Franchise — FAQ
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