Plato's Closet
Retail & Consumer Goods · Apparel & Accessories
- Active units
- 470
- Avg unit volume
- $1.3M
- Royalty
- 5.0%
Franchised, year-end 2024
of weekly Net Sales
About Plato's Closet
Plato's Closet is a leading retail brand specializing in buying and selling gently used clothing, shoes, and accessories, making sustainable fashion accessible and affordable. With a focus on recycling fashion, Plato's Closet encourages customers to bring in their pre-loved items, allowing them to earn cash on the spot while giving their styles a second life. The store operates with no appointment necessary, ensuring a convenient experience for shoppers looking to declutter their wardrobes or find trendy pieces from their favorite brands at budget-friendly prices. Each location is individually owned and operated by local entrepreneurs, highlighting the brand's commitment to supporting small businesses and community engagement. By promoting the circular economy, Plato's Closet helps reduce textile waste, as only 15% of clothing is currently recycled. This eco-conscious philosophy enables consumers to make a positive environmental impact while enjoying a diverse selection of fashionable items for all seasons. Shop locally and sustainably with Plato's Closet, where your style meets conscious consumerism.
Key terms
- Franchise fee
$25k
- Existing franchisee / additional store discount
Initial Franchise Fee is $15,000 for a second or subsequent Store or if you are an existing franchisee of one of Winmark’s other franchised concepts.
- Brand fund
1500.0% of Net Sales
- Local advertising
5.0% of Net Sales
- Footprint
3,500 – 4,500 sq ft
- Veteran discount
Not offered
Brand Percentile Rankings
Rankings compare brands in the same operating year. Fee and investment figures come from the FDD.
Growth
- Total locations470
Franchised units open at year-end
- New openings10
Gross new units opened during the calendar year
- 1-year unit growth rate1.1%
Net unit growth versus prior year
- 3-year unit CAGR1.0%
Compound annual growth rate of unit count over the trailing 3 years
- Unit growth ratio2.0×
Cumulative opens / closures through year-end
Unit economics
- Annual unit volume (Median)$1.3M
Average gross sales across 484 franchised stores for the 12 months ended Dec 28, 2024.
- Annual unit volume (25th percentile)$959k
Gross Sales means all revenues received from the sale of goods and services in connection with the store, less sales tax and customer refunds and returns.
- Annual unit volume (75th percentile)$1.6M
Gross Sales means all revenues received from the sale of goods and services in connection with the store, less sales tax and customer refunds and returns.
- 1-year Median AUV growth rate—
Year-over-year change in median AUV
- Store-level EBITDA Margin—
Median unit-level EBITDA / AUV
Investment profile
- Estimated initial investment$388k
Midpoint of estimated initial investment range
↓ Lower is better - Time to open11 months
Midpoint of average time from agreement to opening
↓ Lower is better - Royalty rate5.0%
Percent of net sales paid to the franchisor
↓ Lower is better - Sales-to-investment ratio3.3×
Median AUV / estimated initial investment midpoint
- Cash-on-cash returns—
Median unit-level EBITDA / estimated initial investment midpoint. Steady-state estimate; year 1 returns will be lower as the unit ramps to median volumes.
Franchisee healthLocked
- Unit closure ratio
- Transfer vs. closure ratio
- Percent multi-unit franchisees
- Litigation rate
- EBITDA multiple on sales & transfers
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Location footprint
Showing 463 of 561 mapped locations
Sources
Financial and operating figures are sourced from the brand's Franchise Disclosure Documents. Brand percentile rankings are based on comparisons to other brands that include the same metrics in their Franchise Disclosure Documents.