ITEMS 5–7 · FDD 2016
How much is a EmbroidMe franchise?
Per EmbroidMe's 2016 FDD, the initial franchise fee is $50K (Item 5) and the total initial investment runs $89K–$214K (Item 7); once open, you pay an ongoing royalty of 6.0% of gross sales (Item 6).
$50K
one-time, to buy in
6.0%
of gross sales, ongoing
$89K–$214K
franchisor's own estimate
The buy-in is the smaller number. The larger one is the drag: 6.0% of every sale leaves before rent, labor, or your salary — so breakeven depends on volume you cannot know from the FDD, and this brand publishes no Item 19 earnings data to anchor it.
To open (Item 7)
$89K–$214K
all-in investment range
Franchise fee (Item 5)
$50K
upfront, one-time
Royalty (Item 6)
6%
of sales, ongoing
Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.
Royalty you'd pay / yr
$60K
6% of sales, before profit
Over a 10-yr term
$600K
royalties alone, excl. ad fund
This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.
Build a real pro-forma for EmbroidMe with an independent CPAEmbroidMe cost questions, answered from the filing
How much is a EmbroidMe franchise?
Per EmbroidMe's 2016 FDD, opening a franchise requires an initial franchise fee of $50K (Item 5) and a total initial investment of $89K–$214K (Item 7). Item 7 is the franchisor's own estimate — treat the low end as a floor, not a budget.
What royalty does EmbroidMe charge?
EmbroidMe charges an ongoing royalty of 6.0% of gross sales, per Item 6 of its 2016 FDD.
Does EmbroidMe tell you what franchisees earn?
No — EmbroidMe's 2016 FDD makes no Item 19 earnings claim, so any revenue figure you hear comes from sales conversations, not disclosure documents. Validate with current and former franchisees.
A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing EmbroidMe's numbers, including talking you out of a bad deal.
Talk to an independent CPA before you buy →