Independent franchise research, built on public data.
FranchiseVerdict provides independent franchise research data extracted from public Franchise Disclosure Documents (FDDs) and SBA 7(a) loan records. The platform normalizes information that franchisors are legally required to disclose but rarely make easy to compare across brands.
How it works
The platform extracts, normalizes, and cross-references data from two primary public sources:
- Franchise Disclosure Documents (FDDs): legally mandated filings that franchisors submit to state regulators. FranchiseVerdict parses Items 5, 6, 7, 12, 17, 19, and 20 covering franchise fees, investment ranges, financial performance, litigation, and contract terms.
- SBA 7(a) loan records: public records obtained via FOIA covering Small Business Administration-guaranteed franchise loans. These records are matched to FDD brands to provide actual loan charge-off rates, lending volumes, and lender performance data.
The crossover of FDD financial data with real SBA loan outcomes is unique to FranchiseVerdict. No other platform combines these two datasets to give franchise investors a complete picture of both disclosed financials and actual lending risk.
The rating system
Every brand receives a Verdict Grade (A through F) derived from a composite risk score that weighs SBA loan charge-off rates, unit growth trajectory, FDD data completeness, and financial disclosure quality. The methodology is fully documented and transparent.
Principles
- Franchise investment decisions should be based on data, not sales pitches.
- FDD data is public information that should be freely accessible and comparable.
- SBA loan outcomes are the closest thing to a franchise “report card” that exists.
- Transparency about data gaps is as important as the data itself.
The Team
Built by Usman Khan
Usman Khan is a franchise data analyst who built FranchiseVerdict to bring transparency to franchise investing. The platform combines public FDD filings with SBA 7(a) FOIA loan records to create the most comprehensive franchise research database available.
Every data point on this site comes from public government records. FranchiseVerdict earns $0 from franchisors — our revenue comes from premium research products purchased by franchise buyers and investors.
Important disclaimer
FranchiseVerdict provides informational data only and is not a financial advisor, franchise broker, or attorney. Verdict Grades are algorithmic assessments based on public data and should not be construed as investment recommendations. Always consult qualified professionals and conduct your own due diligence before making franchise investment decisions.
Questions? Reach us at hello@franchiseverdict.com