ArteVino Studio’s Financial Performance Highlights Strong Margins and Growth Potential for New Franchisees

For aspiring entrepreneurs, franchising opens the door to a system that allows them to be in business for themselves, but not by themselves. However, finding the right brand for their skills and passions can be easier said than done—there’s no shortage of concepts in the industry competing for franchisees. That’s why a brand’s Franchise Disclosure Document, or FDD, is so important.

FDDs provide invaluable information about a concept, from its initial investment range to details surrounding its executive team. But one of the most critical parts of a brand’s FDD is its Item 19, which highlights its financial performance representations. Item 19 is the first place that candidates look when attempting to determine how successful they’ll potentially be as business owners, so without a strong representation, it can be difficult to recruit top tier franchisees.

But for brands like ArteVino Studio, a leading, emerging concept in the paint and sip segment of the franchising industry, its Item 19 offers a space to highlight positive potential.

Of ArteVino’s two reporting studios for the calendar year ending December 31, 2016, gross sales reached an average of $241,758. And because the fees associated with running one of the brand’s locations is so small—including both artist fees and art supplies—the average gross margin of the two locations was nearly 62 percent of those sales. And according to ArteVino Studio co-founder Paolo Canale, there’s room for those numbers to grow.

“When we founded this business, we designed it to leave room for future growth. At the time, we were both working in other jobs and were developing ArteVino as a true passion project. That means that we’re not yet operating at a level that represents the fullest potential behind the business—owner operators who come into our system will be able to take our proven model and amplify its potential to reap even bigger rewards,” said Canale.

“There’s a lot more that can be done with our system, and we’re eager to bring more franchisees on board and help position them for consistent and ongoing success.”

ArteVino aims to continue growing its Item 19 alongside its franchise system by tapping into the power of its unique position in the marketplace. Paint and sip studios are becoming more popular among consumers, and because the brand differentiates itself by putting the customer experience first, it’s perfectly positioned to make the most of that climbing demand. ArteVino also offers its franchisees a strong support system that goes beyond initial training, and has an affordable initial investment that ranges between $99,800 and $123,850.

The brand is also able to keep its costs down for franchisees once they get their businesses up and running, enhancing what they’re able to make in revenue. ArteVino has also established a strong relationship with its vendors, enabling them to negotiate really good prices as they’ve grown from one unit to six. That trend is something that they expect to continue as more franchisees come on board, making the brand’s business ownership opportunity even more competitive in an increasingly in demand industry.

“Every aspect of the ArteVino Studio system is designed with our franchisees in mind. This is a high margin business ownership opportunity because we’ve put together a streamlined process in which every detail has been thought out. We’ve been extremely careful when it comes to what vendors we work with and how we select franchisees to join our team. It’s all a part of our ongoing effort to create a franchise agreement that local owners can leverage to be a successful business owner,” said Jakop Eskinazi, co-founder of ArteVino.