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Savory Spice Shop

Savory Spice Shop

Franchising since 2004 · 5 locations

The total investment to open a Savory Spice Shop franchise ranges from $110,000 - $278,000. The initial franchise fee is $27,500. Ongoing royalties are 5% plus a 2% advertising fee. Savory Spice Shop currently operates 5 locations (5 franchised). The top SBA 7(a) lenders for Savory Spice Shop are First Interstate Bank, Stellar Bank and BancFirst. PeerSense FPI health score: 21/100.

Investment

$110,000 - $278,000

Franchise Fee

$27,500

Total Units

5

5 franchised

FPI Score
Medium
21

Proprietary PeerSense metric

Limited
Capital Partners
3lenders available

Active capital sources verified for Savory Spice Shop financing

SBA

7(a) Eligible

21d

Avg Funding

P+2.25%

Best Rate

No retainers · Referral fee at closing

FPI Score Breakdown

Emerging (3-9 loans)

Medium Confidence
21out of 100
Limited

SBA Lending Performance

SBA Default Rate

16.7%

1 of 6 loans charged off

SBA Loans

6

Total Volume

$1.3M

Active Lenders

3

States

4

Top SBA Lenders for Savory Spice Shop

What is the Savory Spice Shop franchise?

Most people who walk into a spice shop for the first time leave wondering why they ever settled for the dusty, years-old jars sitting in grocery store aisles. The category problem is real and measurable: the global spices and seasonings market was valued at approximately $20.92 billion in 2025, yet the dominant channel for most American consumers remains mass retail, where product freshness and flavor complexity are routinely sacrificed for shelf life and margin. Savory Spice Shop was founded in September 2004 by husband and wife Mike and Janet Johnston in Denver, Colorado, with a direct answer to that problem — freshly ground, small-batch spice blends handcrafted in Denver and delivered through an engaging, knowledgeable retail environment. The Johnstons opened their first shop with 140 hand-blended and freshly ground seasonings, a number that has since grown to over 400 spices, herbs, and blends including more than 160 original-recipe formulas inspired by global culinary traditions. The company began franchising in 2009 and currently operates approximately 29 units across the United States, all domestic, with the largest historic concentration in the western region of the country. The corporate headquarters is located at 1805 E. 58th Ave., Suite C, Denver, CO 80216, which also serves as the central production hub where spices are ground in small batches to maintain consistency and freshness across the franchise network. The brand has accumulated more than 30,000 five-star customer reviews, a signal of genuine consumer resonance that franchise investors should weigh seriously alongside the financials. This analysis is produced independently by PeerSense and is not sponsored, endorsed, or reviewed by Savory Spice Shop or its corporate affiliates — every data point below is drawn from publicly available sources, franchise disclosure filings, and verified industry research.

The specialty food retail category, and specifically the spices and seasonings segment, is experiencing a sustained period of structural growth that makes the timing of this franchise opportunity strategically relevant. The global spices and seasonings market is projected to grow from $21.99 billion in 2026 to $28.21 billion by 2031 at a compound annual growth rate of 5.12%, while a separate market analysis estimates growth from $20.4 billion in 2025 to $34.2 billion by 2035 at a 5.3% CAGR — two independent forecasts pointing in the same direction. Ground and powder product formats, which represent the core of the Savory Spice Shop offering, held a 26.08% share of the spices market in 2025 and are projected to grow at a 5.63% CAGR through 2031. The broader savory flavor blends segment, valued at $7.8 billion in 2022, is anticipated to reach $13.2 billion by 2032 at a 5.4% CAGR, with spices and herbs commanding approximately 36% of that segment. The savory ingredients market overall is expected to reach $9 billion in 2025 and nearly double to $17.4 billion by 2035 at a 6.8% CAGR globally, with the U.S. market specifically growing at a 4.6% CAGR through 2035. Several macro consumer trends are accelerating this growth simultaneously: demand for bold, unique flavors in convenient formats; a rising interest in global cuisines fueled by social media exposure and cooking content; health and wellness preferences driving purchases of clean-label, chemical-free, and sustainably sourced ingredients; and premiumization dynamics that continue to create value even in inflationary environments. The sauces, seasonings, and condiments market was valued at $165.8 billion globally in 2023 and is growing at 5.3% annually through 2030, while savory snacks — a downstream application of specialty seasonings — are the fastest-growing application segment in the spices market, projected to expand at a 6.85% CAGR through 2031. All of these vectors favor a specialty retailer positioned around premium, freshly crafted products with deep consumer education and engagement built into the purchase experience.

The Savory Spice Shop franchise investment occupies a mid-tier range within the specialty food retail category, making it accessible to a broader pool of qualified investors than luxury food concepts while still requiring serious financial commitment. The total initial investment range runs from approximately $187,386 to $309,653 based on the most current available data, with some sources citing a range as wide as $187,400 to $354,000 depending on real estate format, geographic market, lease terms, and build-out complexity. The franchise fee ranges from $27,500 to $35,000 as of the most recent reporting period, representing a one-time payment at the signing of the franchise agreement that covers the right to use Savory Spice Shop's trademarks, systems, and brand identity. Earlier franchise disclosure document data from 2016 showed a lower franchise fee ceiling of $27,500, suggesting the fee has increased modestly as the brand has evolved its offering and support infrastructure. Prospective franchisees should budget for liquid capital of $100,000 as a baseline, and the net worth requirement stands at $400,000 — parameters that align with industry norms for specialty retail concepts with lease obligations, inventory requirements, and multi-month ramp-up periods. The ongoing royalty rate is currently cited at 4%, a meaningfully lower rate than the 6% figure that appeared in 2016 FDD data, and an advertising fund contribution of 1.5% applies on top of the royalty. For comparison, specialty food retail franchises in the broader category often carry royalty rates between 5% and 8%, placing Savory Spice Shop's current 4% rate at the lower end of the competitive range — a structural advantage for franchisee cash flow once the unit reaches maturity. The total cost of ownership, inclusive of franchise fee, real estate, equipment, opening inventory, licenses, and working capital, positions this as a moderately accessible investment relative to food service franchises in the $300,000 to $600,000 range, though investors should obtain the current Franchise Disclosure Document to confirm all fee structures before making any financial commitment.

Understanding what you are actually buying when you invest in a Savory Spice Shop franchise requires a clear view of the daily operating model, which is built around the owner-operator framework rather than an absentee management approach. Mike and Janet Johnston have been explicit that the business requires, in their own framing, "the charm and expertise of an owner-operator" — prospective franchisees who bring personal engagement, culinary enthusiasm, and genuine customer interaction skills to the retail floor. The store format is a specialty retail shop stocked with more than 400 spices, herbs, and blends, supported by an educational selling approach that differentiates the brand from mass-market grocery competitors. Savory Spice maintains product consistency and freshness across its network by grinding spices in small batches centrally at its Denver headquarters, which means franchisees receive consistent product quality without needing to manage in-store grinding operations at scale. The initial training program totals 138 hours, comprising 16 hours of classroom instruction and 122 hours of hands-on, on-the-job training — a ratio that strongly favors experiential learning over theory, appropriate for a retail concept where customer engagement is the primary competitive differentiator. Training is conducted at the Savory Spice headquarters in Denver, blending in-person and online components across a program that typically spans approximately two weeks. The founders have historically gone to significant lengths to vet franchisee candidates, including traveling personally to meet prospective owners and assess whether they carry the passion and cultural alignment the brand requires — a selection process that is more rigorous than many retail franchise systems. Operational manuals and marketing guidance are provided as foundational support resources, and territory structure with geographic exclusivity is part of the franchise agreement framework, though investors should confirm current territory terms directly through the disclosure document review process.

Item 19 financial performance data is not disclosed in the current Franchise Disclosure Document for Savory Spice Shop, meaning the company has elected not to provide average unit revenue, median sales, or profit margin data within its official filing. This is a legally permissible choice — franchisors are not required to make financial performance representations, and when they do, those representations must be grounded in actual system performance data. The absence of Item 19 disclosure places additional weight on the investor's own due diligence process, including direct conversations with existing franchisees, review of the FDD's Item 20 contact list, and independent market analysis. One available data point on overall company performance suggests corporate revenue falls between $1 million and $5 million annually, though this figure encompasses the entire corporate entity and should not be interpreted as a per-unit revenue estimate. What the unit count trajectory does reveal is instructive: the brand peaked at approximately 32 locations in mid-2016 according to co-founder statements, contracted to 21 franchised units by the formal 2016 FDD count, and currently operates approximately 29 units as of 2026 — suggesting a recovery and stabilization phase following a mid-decade period of contraction. Industry benchmarks for specialty food retail stores of comparable format and positioning typically generate annual revenues in the range of $400,000 to $900,000 depending on market size, location quality, and operator effectiveness, though these are sector-level estimates and not Savory Spice-specific figures. The spices and seasonings segment benefits from relatively high gross margins compared to fresh food categories due to lower perishability, density of product, and brand-driven pricing power — characteristics that structurally support profitability when combined with disciplined inventory management and strong customer retention. Investors conducting due diligence on the Savory Spice Shop franchise cost and revenue potential should prioritize direct franchisee conversations and independent market sizing for their target trade area.

The Savory Spice Shop franchise system has navigated a meaningful growth arc since its founding in 2004 and franchising launch in 2009, with the current unit count of approximately 29 locations representing a stabilized base from which the brand is actively planning expansion. The trajectory from 27 units in 2014 to a peak near 32 locations in 2016, followed by a contraction to 21 units, and the subsequent recovery to 29 units by 2026 reflects the selective, quality-over-quantity approach the Johnstons have publicly articulated — growth driven by finding the right operators rather than maximizing unit count. The company is preparing to launch a redesigned franchise model with the stated goal of making it easier for qualified candidates to enter the system, a strategic signal that corporate leadership is prioritizing accessibility and scalability in the next growth phase. The brand's competitive moat is built on several reinforcing elements: a centralized production model that ensures freshness and flavor consistency across all locations, a proprietary portfolio of more than 160 original-recipe spice blends that cannot be replicated by generic competitors, a deeply engaged customer base evidenced by 30,000-plus five-star reviews, and a brand identity centered on culinary education and flavor discovery that creates emotional loyalty beyond transactional purchasing. The company has also demonstrated product development discipline, launching a line of barbecue condiments in 2016 and continuously expanding its catalog to over 400 SKUs, positioning itself to capture demand across the savory grocery, specialty condiment, and home cooking categories simultaneously. Leadership continuity has shown some evolution — Mike Johnston was identified as CEO as recently as December 2022, while Jon Hauge appeared in a March 2026 profile in the same role, suggesting a transition in corporate leadership that investors should investigate during their due diligence conversations with the franchisor. The brand's online presence is explicitly cited as an "ever-growing" channel, indicating awareness of the shift toward direct-to-consumer e-commerce in the specialty food category and the importance of omnichannel strategy for retail franchisees.

The ideal Savory Spice Shop franchisee is not the passive investor seeking absentee income — it is a culinary enthusiast with retail management acumen, genuine customer engagement skills, and the financial wherewithal to sustain a ramp-up period in a specialty category that depends heavily on community reputation and repeat customer development. The Johnstons' publicly stated screening philosophy — seeking "owners who have more than just the startup dollars, they need the passion" — reflects a franchise culture where brand alignment is weighted alongside financial qualifications. With a net worth requirement of $400,000 and liquid capital threshold of $100,000, the financial bar screens for stability without requiring the seven-figure balance sheets demanded by larger food service franchise systems. Available territories span the continental United States, with historically strong concentration in the western region — 9 of 13 franchised states in the 2016 FDD data fell within the West — though the current 29-unit footprint leaves substantial white space across the southern, midwestern, and northeastern markets. States with documented franchise presence as of 2016 included California, Colorado, Florida, Illinois, North Carolina, Nebraska, New Jersey, New Mexico, Oklahoma, Oregon, Tennessee, Texas, and Washington, providing reference points for market viability but not exhausting the addressable territory. The owner-operator model implies a full-time, in-store presence commitment rather than a multi-unit absentee approach, at least in the early years of operation, and prospective investors considering multi-unit development should discuss corporate expectations directly with the franchise development team. The upcoming launch of a new franchise model from Savory Spice Shop creates a timely entry window for candidates who want to participate in a redesigned system from its inception rather than inheriting legacy terms.

Serious franchise investors evaluating the Savory Spice Shop franchise opportunity are working with a concept that combines a proven two-decade operating history, a structurally growing market, a differentiated product model built on freshness and original formulation, and a brand culture that generates measurable consumer loyalty at scale. The investment thesis rests on several converging fundamentals: the global spices and seasonings market growing toward $34.2 billion by 2035, consumer premiumization trends driving demand for specialty over commodity food products, a relatively accessible total investment range of $187,386 to $309,653, a royalty rate of 4% that is below the specialty retail category average, and a brand with more than 30,000 five-star reviews demonstrating authentic market pull. The absence of Item 19 financial performance disclosure in the current FDD means that revenue and profitability projections require additional independent research, and any Savory Spice Shop franchise investment decision should be preceded by thorough review of the complete Franchise Disclosure Document, direct conversations with current and former franchisees listed in the FDD, and consultation with a franchise attorney. PeerSense provides exclusive due diligence data including SBA lending history, FPI score analysis, location-level maps with Google ratings, FDD financial data across multiple disclosure years, and side-by-side comparison tools that allow investors to benchmark Savory Spice Shop against other specialty food retail franchise concepts on every key financial and operational dimension. The Savory Spice Shop franchise cost, revenue potential, competitive positioning, and franchisee satisfaction signals all deserve rigorous analysis before committing capital — the tools to do that analysis comprehensively exist in one place. Explore the complete Savory Spice Shop franchise profile on PeerSense to access the full suite of independent franchise intelligence data.

FPI Score

21/100

SBA Default Rate

16.7%

Active Lenders

3

Key Highlights

Data Insights

Key performance metrics for Savory Spice Shop based on SBA lending data

SBA Default Rate

16.7%

1 of 6 loans charged off

SBA Loan Volume

6 loans

Across 3 lenders

Lender Diversity

3 lenders

Avg 2.0 loans per lender

Investment Tier

Mid-range investment

$110,000 – $278,000 total

Savory Spice Shop — Deep SBA Data

Brand-specific metrics derived directly from SBA 7(a) approval records — peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.

Peak SBA Year

2011

4 approvals — best year on record for Savory Spice Shop.

Top SBA State

North Carolina

2 SBA-financed Savory Spice Shop locations — the densest operator footprint.

Average Loan Size

$208K

Median $238K — use as a sizing anchor when modeling your own $Savory Spice Shop unit.

Lender Concentration

75%

Concentrated

Share of Savory Spice Shop approvals captured by the top 3 SBA lenders.

Savory Spice Shop's SBA lending pipeline peaked in 2011 (4 approvals). Operator density is highest in North Carolina with 2 SBA-financed locations. Average funded ticket sits at $208K, with the median at $238K. Lender mix is concentrated: the top three SBA lenders account for 75% of approvals — credit decisions concentrate with a small group of incumbents.

Payment Estimator

Loan Amount$88K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$1,139

Principal & Interest only

Locations

Savory Spice Shopunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

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Savory Spice Shop