Key Numbers
160
Total units open
70
Units opened last year
87 franchised Suites and 6 franchised Flagships opened in 2025
7
Units closed last year
reacquired or converted; no terminations reported
70
Net unit growth
Hello Sugar Franchise
Health & Beauty FDD 2026 Founded 2021 · 5+ yrs Item 19 disclosed
Data extracted from Hello Sugar's 2026 Franchise Disclosure Document, filed under FTC Rule 16 CFR 436. How we analyze FDDs →
Initial investment
$265K - $735K
Franchise fee
$50K
Median unit revenue
$546k
System size
160 (+32)
The Verdict
Quick Verdict · who it fits
Hello Sugar fits first-time franchise buyers looking for a mid-scale wellness concept.
✓ Strengths
- ✓Discloses Item 19 financial performance
- ✓No disclosed Item 3 litigation
- ✓Strong unit retention (0.0% closure ratio)
⚠ Risks to review
- ⚠No exclusive territory — franchisor can open nearby
Key FDD Facts
The numbers a buyer needs first — straight from the filing.
Initial investment (Item 7)
$265K - $735K
Franchise fee (Item 5)
$50K
Royalty (Item 6)
6% + 2% ad
Item 19 median rev
$546k all flagships (corporate and franchised)
System size (Item 20)
160 +32
Years in business
5+ yrs
Company-owned units
3
Item 3 litigation
None disclosed
Model Hello Sugar's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.
Buyer qualifications
•No exclusive territory•Owner-operator required✓No bankruptcy disclosed✓No Item 3 litigation
Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Item 19 revenue distribution
Where units actually land — not just the headline average.
P25
$325k
Median
$546k
P75
$1.39M
▪ n = 15 units · all flagships (corporate and franchised) · 2025 calendar year · Source: 2026 FDD Item 19
What you'd pay the franchisor
Drag to your projected annual sales. Royalty 6% + ad fund 2% on gross sales.
PROJECTED ANNUAL SALES$550,000
$100k$2M
Royalty (6%)
—
Ad fund (2%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
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What's inside
Franchise Overview
Costs & Fees Breakdown
Your Obligations
Franchisor Obligations
Financial Statements
Contracts Summary
Unit Economics
Network Health
Litigation Risk
Earnings Analysis
Financial Fit Analysis
Buyer Verdict
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Research, not legal advice. Use this report alongside professional legal and financial review before signing any franchise agreement.
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Competitive intelligence for franchisors →Executive Summary
Free AI summary — the first read on the filing.
AI Due Diligence Findings PREMIUM
What our analysis flagged across the 2026 filing.
5
Risks to review
4
Strengths identified
5
Questions to ask
Industry Benchmarks
How Hello Sugar ranks against 89 Health & Beauty peers we've analyzed.
Initial investment
37th pct · of 89 peers
Franchise fee
54th pct · of 89 peers
System size
71st pct · of 89 peers
Health & Beauty industry averages
Avg investment
$374K - $727K
Avg franchise fee
$48K
Avg system size
268
Franchises analyzed
89
How Hello Sugar stacks up
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| Hello Sugar | Disclosed | $50K | $265K - $735K | 6% | 160 |
| Skin Experts by Brentwood Spa Similar price | Disclosed | $45K | $478K - $729K | — | 0 |
| Great Clips Biggest system | Disclosed | $20K | $188K - $420K | 6% | 4,441 |
| Miniluxe Top-rated in category | Disclosed | $50K | $558K - $990K | 6% | 2 |
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Answer five questions and get matched against 2,000+ analyzed FDDs — including every Health & Beauty brand we cover. Free, no account needed.
Frequently asked questions
How much does a Hello Sugar franchise cost?
Hello Sugar requires a $50,000 initial franchise fee and a total initial investment range of $265,372–$734,705, per the most recent FDD on file.
Who owns Hello Sugar?
Hello Sugar franchises are sold by Hello Sugar Franchise, LLC, the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the corporate structure, including any parent companies and predecessors.
Does Hello Sugar disclose financial performance (Item 19)?
Yes. Hello Sugar discloses Item 19 financial performance representations with reported revenue around $546,212. See the financials sub-page for the full distribution.
What ongoing fees does Hello Sugar charge?
Franchisees pay a royalty of 6% and an advertising fund contribution of up to 2% on gross sales as defined in Item 6 of the FDD.
How many Hello Sugar locations are there?
As of their 2026 FDD, Hello Sugar has 160 total locations, with 32 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.
Does Hello Sugar grant exclusive territory?
No. Hello Sugar does not grant exclusive territory rights under Item 12. The franchisor retains the right to operate or grant additional units inside or adjacent to your trade area.
What are the renewal and exit terms?
Per the FDD, Hello Sugar discloses a transfer fee of $5,000. Review Items 10 and 17 for the full renewal and termination provisions.
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