Hawaii Fluid Art

Item 7 lays out the financial entry: initial investment ranges from $182,450 to $339,600, including a hefty $65,000 franchise fee. Ongoing fees stack up aggressively—8% royalty (minimum $750/month), 2% brand/ad fund, $950/month technology fee, $2,000/month minimum digital marketing, and optional $350/month Upfluence. These fixed costs could pressure cash flow in slower months, especially for a build-out heavy model in the arts & crafts niche. Item 19's disclosure is a green flag, offering actual earnings data to model profitability, though averages aren't specified here—prospective owners should dig into representative studios for realistic AUVs.

System health screams momentum: from 3 locations in 2022 to 21 franchise units by 2023 (+600% growth), plus 3 corporates and 30 projected new units. Only 3 terminations and 1 transfer signal low churn despite youth (franchising since 2021). SBA data bolsters credibility—17 loans averaging $147,582, suggesting banks back this play. For art lovers eyeing a passion business, the growth trajectory and transparency make Hawaii Fluid Art compelling, but high fixed fees demand strong local demand for classes, parties, and retail to hit escape velocity.