FDD ITEM 20 · FISCAL 2021–2025
Honest-1 Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2025), Honest-1 reported 58 franchised outlets at year end. 1 of 59 franchised outlets open at the start of the year left the system — an annualized exit rate of 1.7%— while 0 new outlets opened. Systemwide units moved -6.2% over 2021–2025.
| Status (FTC) | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Outlets at start | 66 | 65 | 64 | 64 | 62 |
| Opened | 0 | 1 | 0 | 0 | 0 |
| Transfers | 0 | 0 | 0 | 1 | 0 |
| Terminations | 0 | 0 | 0 | 0 | 1 |
| Non-renewals | 0 | 0 | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 | 0 | 0 |
| Ceased — other reasons | 1 | 2 | 1 | 2 | 0 |
| Outlets at end | 65 | 64 | 64 | 62 | 61 |
| Net change | -1 | -1 | 0 | -2 | -1 |
1 terminations + 0 non-renewals + 0 ceased (other) = 1 exits ÷ 59 at start = 1.7%
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (0) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
| State | Franchised | Company-owned |
|---|---|---|
| MN | 16 | — |
| OR | 6 | — |
| FL | 5 | 3 |
| TX | 5 | — |
| GA | 3 | — |
| SC | 3 | — |
| VA | 3 | — |
| CA | 2 | — |
| CO | 2 | — |
| IL | 2 | — |
| NC | 2 | — |
| NJ | 2 | — |
| TN | 2 | — |
| WA | 2 | — |
| AZ | 1 | — |
| OH | 1 | — |
| UT | 1 | — |
| NV | 0 | — |
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