How to Finance a SoBol Franchise: Acai Bowl Cafe Costs
By Marc Cornella
A SoBol franchise loan pays for a compact cafe built around acai bowls, fruit bowls and smoothies. The menu is simple, but the financing still has to cover a lease, a build-out, blenders and refrigeration, opening inventory and enough cash to carry the store while it builds regulars.
Below we cover what SoBol is, which costs to verify in its disclosure document, how the SBA Franchise Directory treats the brand and how buyers typically structure financing.
US Professional Funding is not affiliated with, sponsored by or endorsed by SoBol; the name is used only to describe the business. Figures in the franchisor’s disclosure document can change, loan programs and terms vary by lender and borrower, and every loan is subject to lender review and approval. Nothing here is legal, tax or investment advice, so review the current Franchise Disclosure Document (FDD) and franchise agreement with a franchise attorney and an accountant before you commit.
SoBol Franchise Loan at a Glance
- Concept: a fast-casual acai bowl, fruit bowl and smoothie cafe that is known for its granola.
- Origins: founded by Jason Mazzarone and incorporated on Long Island, New York, in 2014.
- Franchising: franchising has been the company’s main growth strategy since 2016, and the system is made up mostly of franchised cafes.
- Ownership: the company describes itself as independently and family-owned.
- Costs: the initial franchise fee, royalty, marketing contributions and estimated initial investment are set out in Items 5, 6 and 7 of the current FDD; confirm them there rather than relying on secondhand figures.
- SBA Franchise Directory: SoBol is listed under code S2573, with a note about the brand’s Restaurant Lease Agreement when real estate secures the loan.
- Typical financing: SBA 7(a) or conventional loans for a new cafe or a resale, plus equipment financing and working capital.
What Is SoBol?
SoBol grew out of a family business. Founder Jason Mazzarone, who trained as a chef, discovered acai bowls at a San Diego beach stand and began selling them from his family’s Italian ice shop. The company was incorporated in 2014 and is based on Long Island, New York.
The menu centers on bowls and smoothies built from acai, pitaya, berries, mango and greens such as kale and spinach, topped with granola, fruit and other add-ons. The company describes its team as “day improvers,” and its leadership has said the brand competes on consistent product quality and operational discipline rather than a sprawling menu.
Store format. A SoBol cafe is a small counter-service store with an open preparation line, blenders, refrigeration and freezers, and limited seating. Company leadership has said footprints have become smaller than they were in the brand’s early years, partly because of changes in seating needs and rising rents. Cafes typically operate from morning into the evening, seven days a week.
How lenders view the concept. Lenders generally see a limited-menu cafe with no cooking line, which keeps equipment and build-out simpler than a full restaurant. Sales depend on traffic, weather and season, so lenders focus on the location, the lease and working capital.
SoBol Franchise Costs
SoBol’s current FDD is the only reliable source for its fees and investment range, and any SoBol franchise loan request should be built from it.
Initial franchise fee. Item 5 states the initial franchise fee, when it is due, whether any part is refundable and whether discounts apply for additional cafes or for particular groups of buyers.
Lease and build-out. Most SoBol cafes are in leased retail space. Build-out typically covers plumbing, electrical capacity for blenders and freezers, counters, flooring, lighting and the brand’s interior design. With no cooking line, a full hood system is usually not needed. Landlord allowances can reduce what you finance.
Equipment and smallwares. Expect commercial blenders, reach-in and walk-in or upright refrigeration and freezers, dipping cabinets or cold wells, ice equipment, prep tables, sinks, point-of-sale hardware and smallwares.
Opening costs and working capital. Opening inventory, grand-opening marketing, training travel, deposits, insurance and licenses are part of the opening budget. Item 7 also includes additional funds for an initial operating period.
Total investment. Item 7 of the FDD gives the estimated initial investment range and the assumptions behind it. Typical categories to review include:
- Initial franchise fee
- Leasehold improvements and construction
- Furniture, fixtures and equipment
- Signage
- Point-of-sale system and technology
- Opening inventory and supplies
- Grand-opening marketing
- Security deposits, insurance, licenses and permits
- Additional funds for the initial operating period
Pair each line with your own landlord and contractor quotes.
Ongoing Fees and How They Affect Your Loan
Item 6 lists SoBol’s royalty, marketing or brand fund contribution, any local advertising requirement, technology fees, training charges for new staff, transfer and renewal fees and other recurring costs.
Percentage-of-sales fees come off the top before rent, labor, product and debt service. Lenders rebuild your projections with every Item 6 fee, then test whether the cafe can still cover a SoBol franchise loan payment in a slow, cold-weather month.
Item 8 explains any required suppliers, and leadership has said the company only opens where its distribution model can serve stores, which affects both site selection and food-cost assumptions.
Franchisor Requirements for New Owners
SoBol sets its own financial and experience standards for candidates, and they are shared during the discovery process. Ask the franchisor for its current minimum net worth and liquid capital expectations in writing, because lenders compare them with your personal financial statement.
The approval path generally involves an inquiry, review of the FDD, a discovery day with the leadership team, territory and site discussions and a signed franchise agreement. Company leadership has said its strongest franchisees are owner-operators who work in the business, often with family, and that it is selective about territories. Lenders tend to view a full-time, hands-on owner favorably.
Ways to Own a SoBol
Opening a new cafe. A new store is underwritten on projections, the FDD, the lease and your personal strength. Financing typically covers build-out, equipment, opening costs and working capital. See our franchise start-up financing page.
Buying an existing SoBol. Resales come up regularly in an established system. A buyer gets an operating cafe with sales history, trained staff and a known lease, and the lender can underwrite actual results. Any transfer requires SoBol’s approval under Item 17. Read our article on buying a franchise resale for timing and approval tips.
Financing Options for a SoBol Franchise
SBA 7(a) loans. Because SoBol is on the SBA Franchise Directory, an SBA 7(a) loan is often the first option buyers explore. It can fund build-out, equipment, the franchise fee, working capital or the purchase of an existing cafe.
SBA 504 loans. The SBA 504 program is designed for owner-occupied real estate and long-lived fixed assets. It fits only when an owner buys the space where the cafe operates, and then the directory note below applies.
Conventional term loans. A conventional business loan may suit an experienced owner with strong financials, or an owner adding a cafe to an established group. Terms, collateral and covenants vary by lender.
Equipment financing. Blenders, freezers, refrigeration, ice machines, prep stations and point-of-sale systems can often be financed or leased separately, which preserves cash for opening. See our restaurant equipment financing and leasing options.
Working capital and lines of credit. Smoothie and bowl sales can rise in warm months and soften in winter, and new stores need time to build regulars. A reserve or line of credit helps cover payroll, product and rent during slower stretches. Learn more about franchise working capital.
Seller financing on resales. A seller may carry part of a resale price. Seller notes are typically subordinate to the senior loan, and SBA programs limit how they can be used.
SBA Loans for SoBol Franchisees
The SBA Franchise Directory lists brands whose franchise documents have been reviewed for SBA eligibility. Lenders making SBA-guaranteed loans to franchisees generally rely on that listing. A listing does not approve any borrower; it only clears the franchise relationship for review.
SoBol’s listing. SoBol appears on the directory under code S2573. The listing carries this note: when the real estate where the franchise business is located will secure the SBA-guaranteed loan, the Restaurant Lease Agreement may not be executed.
What that note means. SoBol’s franchise package includes a document called the Restaurant Lease Agreement, which deals with the premises. If you own the property, or the loan will be secured by the real estate where the cafe operates, that agreement cannot be signed as part of the deal, so the lender, the franchisor and your attorney need to agree on how occupancy will be documented instead. For the usual leased cafe where no real estate secures the loan, the note may not affect your transaction, but your lender should confirm that.
Program limits and tips. The SBA 7(a) program maximum is currently $5 million, though program rules can change. For a SoBol franchise loan through the SBA, provide the FDD, franchise agreement, lease or letter of intent, business plan and personal financial documents early, and confirm the listing when you apply.
How Lenders Evaluate a SoBol Deal
Personal credit and financial history. Expect a review of credit, tax returns and a personal financial statement, plus a personal guarantee.
Net worth and liquidity. Lenders want to see the equity you are contributing and the reserves left after closing. Our article on writing a franchise business plan for an SBA loan covers how to present this.
Industry and management experience. Food service, retail or management experience helps. If you are new to the industry, show how SoBol’s training and your staffing plan cover the gap.
Business plan and projections. Projections should reflect seasonality, the site’s traffic, morning and afternoon peaks, labor scheduling, food cost and every Item 6 fee.
The FDD and franchise agreement. Lenders review Items 5, 6, 7, 10, 17, 19 and 21, and Items 3 and 4 for disclosure history. Item 19 shows whether the FDD includes financial performance representations. Our guide to how lenders read an FDD explains what they focus on.
Site and lease. The lease term should generally run at least as long as the loan, including options. Lenders also look at co-tenancy, parking, visibility and any landlord allowance.
Historical financials for resales. For an existing cafe, provide several years of profit and loss statements, tax returns and point-of-sale reports.
Multi-Unit Growth and Development Agreements
SoBol’s leadership has said that many multi-unit owners began with a single cafe and expanded once it was running well. If the franchisor offers a multi-unit or development arrangement, the FDD describes any development fee and schedule.
Financing a second or third cafe usually happens one store at a time. Lenders look at the first cafe’s cash flow, your management depth and the combined debt load. See our article on multi-unit franchise financing for how lenders view growing groups.
Real-World Scenarios
A first-time owner opening a new cafe. A longtime customer signs on for a cafe near a busy shopping center. An SBA 7(a) loan funds build-out, equipment and opening costs, and the owner keeps a working capital reserve for the first winter.
A buyer acquiring a resale. A buyer purchases an established cafe from an owner who is relocating. The lender reviews several years of sales and tax returns, SoBol approves the transfer, and part of the price is covered by a subordinated seller note.
An owner adding a second location. A franchisee whose first cafe has a solid track record opens a second store nearby. The lender reviews both cafes together, and the blenders and freezers are financed through a separate equipment lease.
Common Mistakes to Avoid
- Relying on secondhand cost figures instead of the current FDD
- Ignoring winter seasonality when sizing working capital
- Signing a lease shorter than the loan term
- Leaving out royalty, marketing and technology fees in projections
- Picking a site outside the brand’s distribution footprint
- Overlooking the directory note when real estate will secure the loan
- Underestimating equipment replacement for blenders and freezers
For more pitfalls in the industry, read about restaurant loan mistakes to avoid.
Next Steps to Finance Your SoBol Franchise
Step 1: Request and study the FDD. Review Items 5, 6, 7, 17 and 19 with a franchise attorney and an accountant.
Step 2: Confirm the franchisor’s requirements. Ask SoBol for its current net worth and liquidity expectations and the territories available.
Step 3: Estimate your loan. Use our SBA loan calculator for early payment estimates, which are for planning only and are not an offer.
Step 4: Build your business plan. Include seasonality, staffing, food cost and every fee.
Step 5: Secure a site or resale. Match the lease term to your financing.
Step 6: Apply and coordinate approvals. Submit your loan package and keep the lender’s timeline aligned with SoBol’s approval and construction schedule.
SoBol Franchise Loan FAQs
How much does a SoBol franchise cost?
The estimated initial investment is listed in Item 7 of SoBol’s current FDD. It varies with the size of the space, the build-out needed and local construction costs.
What is the SoBol franchise fee?
The initial franchise fee is set out in Item 5 of the FDD, along with any discounts for additional cafes.
What royalty does SoBol charge?
Item 6 lists the royalty and the marketing contribution, plus technology, training, transfer and renewal fees.
Can I get an SBA loan for a SoBol franchise?
Yes, SoBol is listed on the SBA Franchise Directory under code S2573, so SBA 7(a) loans are available to qualified borrowers, subject to lender approval.
What does the SBA directory note mean?
If the real estate where the cafe operates will secure the SBA loan, SoBol’s Restaurant Lease Agreement may not be signed. Lenders and your attorney will document occupancy another way.
Can I buy an existing SoBol cafe?
Yes, resales occur, and they require SoBol’s approval. Lenders underwrite the cafe’s actual financial history.
Can I open more than one SoBol?
Yes, many owners grow to several cafes. Each new location needs franchisor approval and its own financing.
Do I need restaurant experience?
Not necessarily. Lenders weigh management or customer-service experience alongside SoBol’s training and your staffing plan.
Does SoBol offer financing?
Check Item 10 of the FDD, which discloses any financing the franchisor offers. Most buyers arrange outside financing.
How long is the franchise term?
The term, renewal rights and transfer conditions are in Item 17 of the FDD. Lenders like the term to cover the life of the loan.
Final Thoughts
SoBol offers a focused menu, a smaller footprint than many restaurants and a system built largely by owner-operators. A strong SoBol franchise loan request starts with the current FDD, a carefully chosen site, a lease that matches the financing and enough working capital to carry the cafe through slower seasons.
US Professional Funding helps franchise owners and buyers finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing and restaurant financing solutions.
