Signing out of account, Standby...
- 2023 Franchise 500 Rank
#354 Ranked #198 last year
- Initial investment
$375K - $699K
- Units as of 2022
25 78.6% over 3 years
Here’s what you need to know if you’re interested in opening a Chop Stop franchise.
Chop Stop is a California-based quick-service restaurant chain that specializes in offering creative, unique salad combinations. It also offers rice and bean bowls, as well as wraps. The franchise is built from the fast-growing concept of healthy eating and has found its niche with customers. Chop Stop has a unique, health-oriented salad menu customers can customize to their liking.
Chop Stop opened its first restaurant in California, in 2010, and began franchising in 2015. There are now over one dozen Chop Stop locations in the United States.
Customers may rave about Chop Stop salad bowls, describing them as garden-fresh, nutritious, and filling. They are ideal for when consumers want to grab a quick, healthy bite on the go.
Why You May Want to Start a Chop Stop Franchise
A qualified franchisee should be a healthy, nutritious foods enthusiast who can capitalize on the increasing consumers' desire for convenient but healthy meals. A franchisee must also have the minimum capital requirement and will likely have to establish the business in California, Arizona, Washington, Oregon, Utah, or Colorado. These locations have better access to corporate support services.
Chop Stop has been ranked in Entrepreneur's Franchise 500 multiple times in recent years. This ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.
What Might Make a Chop Stop Franchise a Good Choice?
New franchises may enjoy instant brand recognition and quickly garner a customer base when they open a Chop Stop franchise. Chop Stop has minimal space requirements, only needing the capacity to store the veggies and a surface to prepare the salads. Your contractual responsibility as a franchisee would be to find a location, lease the site, hire and train your employees, and uphold the Chop Stop standards of business.
To be part of the Chop Stop team, you should make sure you're financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal. A typical franchise agreement runs for ten years. Franchisees may be allowed to renew their agreement if they meet the Chop Stop requirements.
How To Open a Chop Stop Franchise
Before you open a Chop Stop franchise, check the size of your local customer base, and find a location with enough foot traffic to garner the type of business you'd hope to achieve. Also, consider the skills you would need in the workforce and whether the specific talents are locally available.
In return, Chop Stop headquarters, which is located in La Crescenta, California, may help franchisees with site selection, lease negotiation, field operations, email marketing, co-op advertising, and provide an intranet software platform. Honorably discharged veterans may receive a discount off their initial franchise fee should they qualify.
Lastly, come prepared with any questions to ask during your initial meeting with the Chop Stop franchise representative. You may also benefit from speaking to current Chop Stop franchisees.
About Chop Stop
- Franchising Since
- 2015 (8 years)
- # of employees at HQ
- Where seeking
This company is offering new franchisees in the following US states: Alaska, Alabama, Arkansas, Arizona, Colorado, Connecticut, District of Columbia, Delaware, Florida, Georgia, Iowa, Idaho, Kansas, Kentucky, Louisiana, Massachusetts, Maine, Missouri, Mississippi, Montana, North Carolina, New Hampshire, New Jersey, New Mexico, Nevada, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Vermont, West Virginia, Wyoming
- # of Units
- 25 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Chop Stop franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $375,000 - $699,000
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Cash Requirement
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- Up to $10,000 off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
- Third Party Financing
- Chop Stop has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 177 hours
- Classroom Training
- 63 hours
- Ongoing Support
NewsletterMeetings & ConventionsGrand OpeningSecurity & Safety ProceduresLease NegotiationField OperationsSite Selection
- Marketing Support
Co-op AdvertisingAd TemplatesSocial MediaSEOEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Interested in ownership opportunities like Chop Stop? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Chop Stop landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where Chop Stop ranked on other franchise lists? Find out below.
Are you eager to see what else is out there? Browse franchises that are similar to Chop Stop.
Related Franchise Content
Catch up on the latest franchise news, trends, and more.
McDonald's Tests New Product Packaging in Attempt to Go Green — And Eliminates This Familiar Feature
The chain aims to reduce its greenhouse gas emissions by 36% between 2015 and 2030.
The spot is located in Downey, California.
How One Woman Turned Pandemic-Induced Boredom and a Makeshift Garage Art Studio Into a Thriving Franchise
Maya Ratcliff was searching for a hobby when she stumbled upon an art form that would ultimately change her life forever.
The customer went viral for what he did next.
For budding entrepreneurs looking to franchise without leaving the house, these concepts offer flexibility.