Flip Flop Shops vs Scout & Molly's
Flip Flop Shops vs Scout & Molly's: Flip Flop Shops costs $183K to $349K to open; Scout & Molly's costs $288K to $388K. Flip Flop Shops has 47 units, Scout & Molly's has 17. SBA loan history: Flip Flop Shops = 26 loans (38.5% default); Scout & Molly's = 17 loans (23.5% default). The franchise with more SBA funded units, a lower SBA default rate, and a lower royalty load is the safer financing bet; see the comparison below.
Flip Flop Shops vs Scout & Molly's: Capital, Scale & Lending Analysis
Analysis based on FDD filings and SBA 7(a) loan level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.
Capital Intensity
Flip Flop Shops requires the lower minimum capital commitment ($183K vs $288K for Scout & Molly's), a 36% spread. Initial franchise fees come in at $30K for Flip Flop Shops versus $60K for Scout & Molly's, Flip Flop Shops has the lower entry fee. Ongoing royalty load is 5% for Flip Flop Shops and 7% for Scout & Molly's, giving Flip Flop Shops the lighter per-unit drag on operating income.
System Scale & Tenure
On scale, Flip Flop Shops operates 47 units to Scout & Molly's's 17, roughly 3× the system size.
SBA Lending Profile
Flip Flop Shops has the deeper SBA lending track record, with 26 7(a) approvals compared with 17 for Scout & Molly's.
Risk Signal
SBA default rates are 38.5% for Flip Flop Shops and 23.5% for Scout & Molly's, Scout & Molly's has the cleaner SBA loss record by 15.0 points. PeerSense FPI scores come in at 34 (Fair) for Flip Flop Shops and 28 (Fair) for Scout & Molly's, giving Flip Flop Shops the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 34/100 | 28/100 |
Health Tier | Limited | Limited |
Confidence | N/A | N/A |
Lending Trend | Declining | Declining |
SBA Lending
SBA Loans | 26 | 17 |
SBA Volume | – | – |
Default Rate | 38.5% | 23.5% |
Peer Tier | established | growing |
Investment & Costs
Total Investment | $183K to $349K | $288K to $388K |
Franchise Fee | $30K | $60K |
Royalty Rate | 5% | 7% |
Ad Fund | 1% | 1% |
Liquid Capital | N/A | N/A |
Net Worth Required | N/A | N/A |
Financial Performance (Item 19)
Item 19 Status | Disclosed | Disclosed |
System Size & Operations
Total Units | 47 | 17 |
Franchised Units | 47 | 17 |
Company Owned | – | – |
Term Length | 8 yrs | 20 yrs |
Brand Information
Year Founded | N/A | 2002 |
Franchising Since | 2007 | 2014 |
Years Franchising | 19 yrs | 12 yrs |
Headquarters | MISSION VIEJO, CA | King of Prussia, PA |
Category | Clothing Accessories Stores | Clothing Accessories Stores |
Website | ||
FDD Year | 2025 | 2025 |
Which Is Better, Flip Flop Shops or Scout & Molly's?
Lower upfront capital required
Flip Flop Shops
Flip Flop Shops: $183K starting · Scout & Molly's: $288K starting
More SBA lender confidence
Flip Flop Shops
Flip Flop Shops: 26 SBA loans · Scout & Molly's: 17 SBA loans
Lower SBA default rate
Scout & Molly's
Flip Flop Shops: 38.5% · Scout & Molly's: 23.5%
Larger system & brand presence
Flip Flop Shops
Flip Flop Shops: 47 units · Scout & Molly's: 17 units
Lower ongoing royalty load
Flip Flop Shops
Flip Flop Shops: 5% · Scout & Molly's: 7%
More lender financing options
Flip Flop Shops
Flip Flop Shops: 19 unique lenders · Scout & Molly's: 6 unique lenders
Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.
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About These Franchises
Flip Flop Shops vs Scout & Molly's: Franchise Funding Comparison
Comparing Flip Flop Shops and Scout & Molly's is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $183K to $388K.
Flip Flop Shops has 26 SBA loans on record and Scout & Molly's has 17. Those totals are cumulative history rather than a measure of current appetite. Recent lending activity is trending down for at least one of these brands, so current lender appetite has to be checked deal by deal rather than assumed from the totals.
SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.
Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.
Flip Flop Shops vs Scout & Molly's, Frequently Asked Questions
Which is a better franchise investment, Flip Flop Shops or Scout & Molly's?
How much does a Flip Flop Shops franchise cost compared to Scout & Molly's?
Can I finance Flip Flop Shops or Scout & Molly's with an SBA loan?
Which has a lower SBA default rate, Flip Flop Shops or Scout & Molly's?
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman