Franchise Facts Report → brands → Sip Fresh
Sip Fresh franchise — is it worth it?
Risk level — in the report
Sip Fresh is an emerging food and beverage brand with a relatively low initial investment range of $233,660 to $420,760.
Unlock what the free page above only hints at:
- The actual Item 19 earnings — reported average unit revenue, not just “disclosed.”
- How it compares — every number ranked against food & beverage peers (median & quartile).
- Litigation detail — each case, franchisee vs. corporate, with summaries.
- Outlet churn & the questions to ask — behind the net change above: closures, terminations, transfers, and what to put to the franchisor.
Figures above are as disclosed in Sip Fresh's most recent FDD (registered 2025). Source: California Dept. of Financial Protection and Innovation — Franchise Registration · filing app-31253. The risk level, the Item 19 figures, how it compares to peers, and the litigation & churn detail are in the full report.
How much does a Sip Fresh franchise make?
Sip Fresh is one of the franchisors that answers this on the record: its most recent FDD makes an Item 19 financial performance representation — actual unit earnings figures, disclosed by the franchisor itself. The average revenue Sip Fresh reports, what that figure does and doesn't include, and where it ranks against food & beverage peers are in the full report. See every food & beverage brand that discloses earnings in the Food & beverage franchises with disclosed Item 19 earnings ranking.
Sip Fresh franchise profit vs. revenue
Revenue is not profit. An Item 19 almost always reports sales — what a location takes in — not what an owner keeps. Out of that number come Sip Fresh's 6% royalty, the ad fund, rent, payroll, supplies and debt service. No FDD tells you a Sip Fresh franchise's profit, because profit depends on your site, your rent and how you run it — so treat any "Sip Fresh franchise profit" figure quoted elsewhere as someone's estimate, not a disclosure. The full report sets Sip Fresh's disclosed revenue against its total ongoing fee load, so you can see what that revenue has to cover before anything reaches you.
Sip Fresh lawsuits & legal history (FDD Item 3)
Sip Fresh's most recently filed Franchise Disclosure Document (2025) discloses no litigation in Item 3. That is a real signal rather than a gap: the FTC Franchise Rule requires a franchisor to disclose material litigation involving itself, its predecessors, parents, affiliates and management, so an empty Item 3 in a current filing means there was nothing it was required to report. It is worth reading alongside the churn numbers — a system can have a clean Item 3 and still be losing franchisees, which is what Item 20 shows.
Sip Fresh closures & failure rate
Before you sign, Sip Fresh will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what Sip Fresh's most recent filing shows, and whether it's normal for a food & beverage of this kind.
The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. Sip Fresh's latest tables show significant franchisee turnover. The actual closure and termination counts, and how Sip Fresh's churn ranks against food & beverage peers, are in the full report.
The actual Item 19 earnings, every figure ranked against food & beverage peers, litigation and churn detail — emailed as a PDF.
Who owns Sip Fresh?
Sip Fresh's franchise is offered by Sip Fresh Franchising, LLC — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2025), and the entity a franchisee actually signs with. That name comes straight off the filing at CA DFPI; it identifies the franchisor, not necessarily the ultimate parent company behind it.
Food & beverage franchises at a similar investment level
Anyone weighing Sip Fresh is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.
Sip Fresh franchise — frequently asked
Who owns Sip Fresh — who is the franchisor?
Sip Fresh's most recently filed FDD (2025) names Sip Fresh Franchising, LLC as the franchisor — the entity you would actually sign the franchise agreement with, as stated on the disclosure document itself. A registry filing names the franchisor, not necessarily its ultimate parent company.
How much does a Sip Fresh franchise cost?
Sip Fresh's most recently filed FDD (Item 7) puts the total estimated initial investment at $233,660 – $420,760, with an initial franchise fee of $35,000 and a 6% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. The full report breaks down every fee line and benchmarks it against food & beverage peers.
How much profit does a Sip Fresh franchise make?
Sip Fresh discloses unit earnings in Item 19, but that figure is revenue — sales — not profit. Royalties (6% of gross for Sip Fresh), the ad fund, rent, payroll and supplies all come out of it, and no FDD discloses what an owner nets. Any Sip Fresh franchise profit number quoted elsewhere is an estimate. The full report shows the disclosed revenue against the full ongoing fee load it has to cover.
Does Sip Fresh disclose financial performance (Item 19)?
Yes — Sip Fresh reports unit-level earnings in Item 19. The full report shows the actual revenue figures and how they rank against food & beverage peers.
Are there lawsuits against Sip Fresh?
No — Sip Fresh's most recently filed FDD (2025) discloses no litigation in Item 3. Franchisors must disclose material litigation involving themselves, their predecessors, parents, affiliates and management, so an empty Item 3 is a genuine signal rather than an omission.
Is Sip Fresh a good franchise to buy?
That comes down to how Sip Fresh's investment, earnings, litigation and franchisee churn stack up against food & beverage peers — which is exactly what the full report answers. For $99 you get the risk level and what's driving it, the actual Item 19 earnings (disclosed in this FDD), where every figure ranks against peers, and the specific questions to ask the franchisor before you sign.
Everything the sections above point to, in one place: Sip Fresh's risk level and what's driving it, the actual Item 19 earnings, every figure ranked against food & beverage peers, and the litigation & churn detail — with the questions to put to the franchisor before you sign.
Get a free email when something changes on Sip Fresh or food & beverage: a new FDD registration, a new lawsuit, an outlet count that shifts, or Item 19 earnings going from undisclosed to disclosed. Pulled straight from the same registries every report is built on.