Franchise - 2026 FDD
Sculpture Hospitality franchise
The Sculpture Hospitality franchise offers evaluation services for bars, nightclubs, restaurants, and other hospitality establishments to monitor the loss of liquor, wine, and beer. Franchisees provide consultative inventory management services utilizing a proprietary software system. The total investment needed depends on the number of establishments with liquor licenses within the franchise territory, with three territory sizes offered.
Independent Franchise.com profile
Sculpture Hospitality 2026 Franchise Disclosure Document, issued May 19, 2026. Existing outlets and disclosed development do not establish current market availability.
The Sculpture Hospitality franchise offers evaluation services for bars, nightclubs, restaurants, and other hospitality establishments to monitor the loss of liquor, wine, and beer.
Getting started
Standard Location
Item 7 stated investment$45,500-$49,500
Initial franchise fee$25,000
Typical time to open90 days
Recommended prototypeHome office
Ownership & operation
What the local business requires
Day-to-day operatorOwner or a trained owner-manager
On-premises during peak hoursNot specified; owner or a manager must manage day to day
Key required roleOwner-manager
Owner performs the service personallyNot specified; owner or a trained manager must manage full time
System size
U.S. - year-end 2025
total units185
Franchised Territories (latest disclosed FY)172
Company-owned Territories (latest disclosed FY)13
Franchised-unit change across the disclosed window-9 (-5.0%)
System Size and Recent Changes
How large is the Sculpture Hospitality system, and how has it changed?
Sculpture Hospitality ended its most recent fiscal year with 172 franchised outlets and 13 company-owned outlets. The total number of franchised outlets decreased by 5.0% from 2023 to 2025.
2023
181
franchised outlets
2024
179
franchised outlets
2025
172
franchised outlets
Card: net change note: From year-end 2023 to year-end 2025, the number of franchised outlets decreased by 9 (-5.0%).
Card: openings/reductions note (latest disclosed FY): In 2025, 2 franchised outlets opened. Reductions included 3 not renewed and 6 reacquired by the franchisor.
See development context, year-end system size and 2025 franchised outlet movement
Development context: As of year-end 2025, 2 new franchised outlets are projected to open in the next fiscal year, though this does not guarantee current market availability.
Year-end system size
| Year | Franchised outlets | Company-owned outlets | Total outlets |
|---|---|---|---|
| 2023 | 181 | 11 | 192 |
| 2024 | 179 | 10 | 189 |
| 2025 | 172 | 13 | 185 |
2025 franchised outlet movement
| Measure | Count |
|---|---|
| Franchised outlets at start of 2025 | 179 |
| Opened | 2 |
| Not renewed | 3 |
| Reacquired by franchisor | 6 |
| Franchised outlets at end of 2025 | 172 |
| Transfers to new owners | 2 |
All profile counts use the FDD's outlet terminology. Existing outlets, signed development and projections do not establish current territory availability.
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Startup costs
How much does a Sculpture Hospitality franchise cost?
The estimated initial investment for a Sculpture Hospitality franchise ranges from $45,500 to $49,500 for a territory with approximately 150 establishments. The largest cost drivers are the initial franchise fee, which is $25,000, and required training, which costs $10,000. Additional funds for the first three months of operation are estimated at $7,000.
Where the money goes
$1,000-$3,000COMPUTER HARDWARE AND OTHER EQUIPMENT
$7,000 for 3 monthsAdditional Funds - 3 months
up to 50% of the initial franchise fee for up to 3 years at 8% interest per annumInitial franchise fee financing
$1,000 to $1,500 for insurance before openingInsurance premiums
Real-estate intensity callout: Franchisees are not required to establish an office to operate the Franchised Business, so there is no cost for furniture. If an office is established, the franchisor does not have to approve the site, but the business must operate solely within its territory.
Launch Planning
- Typical opening timeline
- The typical length of time between signing the Franchise Agreement and opening the Franchised Business is 90 days. This timeline is affected by the ability to obtain a lease (not required), secure financing, and satisfactory completion of Phases 1 and 2 of the initial training program.
- Contractual opening deadline
- There are no stated consequences for not opening the Franchised Business within the 90-day typical timeframe.
- Site and lease milestones
- Franchisees are not required to establish an office. If an office is established, the franchisor does not need to approve the site, but the business must operate solely within its assigned territory. The territory is described by municipal or county boundaries, with sizes based on the number of establishments with liquor licenses.
- Additional Funds
- Additional Funds are estimated at $7,000 to cover initial startup expenses and overhead for the first three months of operation. This amount excludes items separately identified in the initial investment table.
- Grand-opening marketing
- Franchisees must spend at least 3% of their Gross Sales on local marketing and promotion monthly, in a manner approved by the franchisor. Contributions to the Centralized Marketing Program, and other approved advertising expenditures, will be credited towards this local marketing requirement.
- Fee commencement
- Royalty Fees for Full-Service and Shared Service clients are due by the 15th of each month for the previous month's evaluation revenue, with a grace period of 6 months (no minimum payment) and then escalating minimums. The Marketing Development Fund contribution follows the same schedule and has the same grace period. The Centralized Marketing Program fee of $70 per month is paid monthly, at the same time as the Royalty Fee. The Technology Infrastructure Fee of $55 per month is paid monthly.
See the full Item 7 cost table
| Type of expenditure | Low | High | When due |
|---|---|---|---|
| INITIAL FRANCHISE FEE | $25,000 | $25,000 | Upon the execution of your Franchise Agreement |
| REQUIRED TRAINING | $10,000 | $10,000 | Upon execution of your Franchise Agreement |
| TRAVEL AND RELATED EXPENSES DURING TRAINING | $500 | $1,000 | As incurred |
| COMPUTER HARDWARE AND OTHER EQUIPMENT | $1,000 | $3,000 | Before opening |
| LEGAL & ACCOUNTING | $1,000 | $2,000 | As incurred |
| INSURANCE | $1,000 | $1,500 | Before opening |
| ADDITIONAL FUNDS 3 Months | $7,000 | $7,000 | As incurred |
| Item 7 table — stated total | $45,500 | $49,500 |
The charts provide estimates based on the franchisor's experience. All fees are nonrefundable unless otherwise noted. The initial franchise fee covers the right to use the Systems and the Required Trainee's initial training. The franchisor may offer to finance up to 50% of the initial franchise fee for up to 3 years at 8% interest per annum. The Additional Funds estimate covers initial startup expenses and overhead for the first three months of operation, based on the experience of the franchisor's predecessors and subsidiaries.
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Ongoing fees
What ongoing fees does Sculpture Hospitality charge?
Sculpture Hospitality franchisees pay a monthly royalty fee based on evaluation revenue, with a minimum amount that varies by territory size and year of operation. There is also a monthly Marketing Development Fund contribution, a Centralized Marketing Program fee, and a required local marketing spend. Other recurring fees include a Technology Infrastructure Fee and an Electronic Mail Account Fee for additional accounts.
RoyaltyFirst six months: 8% of evaluation revenue per Client. Thereafter, the greater of 8% of evaluation revenue per Client or a monthly minimum ranging from $150-$990, depending on territory size and year of operation
Total sales-based fees10% of evaluation revenue generated per Client (Royalty Fee for Inventory Control System 8% + Marketing Development Fund Contribution 2%)
Fixed monthly recurring total$125 (Centralized Marketing Program $70/month + Technology Infrastructure Fee $55/month)
Self-Service Clients RoyaltyGreater of $38 or 20% of Client's monthly self-service fee
| Economic category | Amount / basis | How it works |
|---|---|---|
| Audit fee | Cost of audit plus interest on the underpayment at the Default Rate, if an audit shows an understatement of any amount due | This fee is due only if an audit shows an understatement of any amount due to the franchisor. |
| Brand fund | First six months: 2% of evaluation revenue per Client. Thereafter, the greater of 2% of evaluation revenue per Client or a monthly minimum ranging from $60-$396, depending on territory size and year of operation | |
| Local advertising minimum | 3% of Gross Sales monthly, approved by the franchisor | Franchisees must spend at least 3% of Gross Sales monthly on local marketing and promotion, which must be approved by the franchisor. |
See secondary recurring and conditional charges
Marketing and technology
- Centralized Marketing Program
- A mandatory monthly fee of $70 for brand awareness and compliance, which includes setting up and managing social media pages, local business listings, and a personalized franchise webpage.
- Technology Infrastructure Fee
- A monthly fee of $55, which covers the marketing platform, support platforms, and communication tools, and may increase annually by up to 10% of the previous year's fee.
Training and operating obligations
- Initial Training Fee for Additional or Subsequent Trainees
- A fee of $2,000 per trainee, which may increase up to a maximum of $5,000 per trainee, is charged for additional trainees or if the required trainee retakes the initial training program.
- Franchise Convention
- At least one person per franchise must attend the convention every 12 to 24 months, with historical fees ranging from $500 to $800 per person, plus travel, lodging, and meals.
Ownership, staffing and support
How is a Sculpture Hospitality business staffed and supported?
A Sculpture Hospitality franchise provides inventory management services for the hospitality industry. The business can be operated by an owner-operator or a designated owner-manager who has completed the initial training program. There is no requirement for a physical office location.
Ownership structure card
- An individual franchisee must dedicate full-time efforts to managing the business.
- If the franchisee is an entity, a majority owner must be appointed as the manager and successfully complete the initial training program.
- No other business engagements are permitted for the franchisee or its owners during the franchise term.
Local operating team card
- The franchisee is responsible for staffing the business; however, no specific roles or headcount beyond the owner/manager are explicitly required to be hired.
- Any directors, managers, or personnel who receive training or access confidential information must sign non-compete and non-disclosure agreements.
Training and support card
- Initial training, called New Franchisee Training (NFT), is a mandatory three-phase program.
- It combines self-paced eLearning, technical operations field training, and advanced business strategy sessions.
- Ongoing support includes advisory assistance, manual updates, quality inspections, and optional training programs.
Ownership signal callout: This business is best suited for an owner who is willing to be hands-on, either operating the business themselves or actively managing a designated owner-manager.
How customers find the business
How does a Sculpture Hospitality business attract and retain customers?
Sculpture Hospitality offers consultative inventory management services to hospitality establishments. The brand provides marketing and promotional materials, and manages a Centralized Marketing Program to ensure a consistent online presence. Franchisees are also required to conduct local marketing and sales activities within their exclusive territory.
What the system provides
- Marketing and promotional materials for brand promotion.
- A Centralized Marketing Program for digital presence management (Facebook, Instagram, LinkedIn, Bing, Yelp, Google Business Profile).
- A personalized franchise webpage.
- Training on sales foundations, skills programs, and advanced business operations.
- A National Account Program to service multi-unit operators.
- Access to proprietary software programs and SaaS solutions.
What the local operator executes
- An annual local marketing spend of at least 3% of Gross Sales, to be approved by the franchisor.
- Adherence to franchisor guidelines for all local advertising, marketing, and promotional materials.
- Submission of an accounting of local marketing expenditures upon request.
- Active marketing of the Inventory Control System as the primary sales priority within the territory.
- Restriction from soliciting clients or customers outside of the designated territory.
- Participation in the Centralized Marketing Program for a monthly fee.
The operating tension: The franchisor provides substantial marketing and operational support to generate demand, but the franchisee is responsible for fulfilling client evaluations and managing client accounts. Meeting minimum client evaluation requirements and adapting to system changes are key for operational success and maintaining the franchise agreement.
Brand and agreement basics
Key Sculpture Hospitality franchise agreement terms
Brand and ownership
- U.S. franchisor
- SHH Group, LLC
- Headquarters
- Toronto, Ontario, Canada
- U.S. franchising history
- Franchises offered since June 2018; franchised businesses operating since October 2017 (predecessor offered franchises October 2014-October 2017, and July 2011-October 2014; affiliate offered franchises 1995-February 2011)
- System mix (latest disclosed FY)
- 172 franchised / 13 company-owned / 185 total
Agreement Terms
- Initial term
- 3 years
- Successor terms
- Franchisees may renew for an unlimited number of additional three-year terms. Renewal requires compliance with the agreement, notice, passing inspection, signing a new agreement, and paying a fee.
- Territory
- An exclusive territory is granted, provided the franchisee complies with the terms of the Franchise Agreement. The franchisor reserves the right to operate under the National Accounts Program within the territory.
- Multi-unit development
- No multi-unit or area development option is offered. An expansion fee is required if a franchisee establishes five or more accounts outside their territory in an open area.
Note: The franchisor does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. Employees or representatives are not authorized to make such representations. If an existing outlet is being purchased, the franchisor may provide the actual records of that specific outlet.
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Frequently asked questions
Sculpture Hospitality franchise FAQs
Does the owner have to personally perform the core service?
Franchisees do not physically conduct Client Evaluations for Self-Service Clients, but for all other clients, compliance with the minimum evaluation requirement occurs when the evaluations are actually completed. The franchisee must physically complete these Client Evaluations.
Is the territory exclusive?
Franchisees receive an exclusive territory, and the franchisor will not establish additional franchised or company-owned units within it as long as the franchisee complies with the agreement. However, the franchisor retains rights such as operating dissimilar businesses, operating outside the territory, acquiring competitive businesses, and allowing others to operate in the territory under the National Accounts Program.
Can a franchisee develop more than one location?
Franchisees have no options, rights of first refusal, or similar rights to acquire additional franchises.
Can a prospective owner speak with current and former franchisees?
A list of current and former Sculpture Hospitality franchisees, including their addresses and telephone numbers, is provided in the disclosure document. No current or former franchisees have signed confidentiality clauses restricting them from discussing their experiences.
What is the total investment required to start a Sculpture Hospitality franchise?
The total investment varies based on territory size, ranging from $45,500 to $49,500 for approximately 150 establishments, $50,500 to $54,500 for approximately 250 establishments, and $60,500 to $64,500 for approximately 500 establishments. These figures include amounts paid to the franchisor or its affiliates.
What are the minimum sales performance requirements for a Sculpture Hospitality franchise?
Franchisees must maintain minimum sales performance levels, specifically a minimum number of monthly Client Evaluations. Failure to meet these levels may result in the loss of territorial rights, franchise termination, and loss of investment.
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Source and methodology
Source and methodology
SHH Group, LLC 2026 Franchise Disclosure Document, issued May 19, 2026.
This profile is based on information from the franchisor's FDD, with data extracted and drafted by automated tools and reviewed by a human editor.
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