Bottom line
- Total investment $405K – $622K including a $55K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $579K/year. Estimated payback in 1.9 years.
- Rated MODERATE with a risk score of 57/100. SBA loan default rate of 0.0% across 22 loans (below the industry average).
- Emerging franchise — only 3 years of franchising with 4 units. Early-stage systems carry higher risk but may offer better territory availability.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Bang Cookies unit return on the cash you put in?
Unlevered ROIC · per unit
10%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Bang Cookies units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$347K
on $1.7M purchase
Total debt
$1.4M
SBA $0.9M + senior + seller note
Overview
About
Bang Cookies franchisees operate specialty cookie retail locations, likely focused on premium or innovative cookie products with possible made-to-order or fresh-baked components. Day-to-day operations include product preparation, inventory management, customer service, and possibly online order fulfillment and local delivery within protected territory.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Bang Cookies presents CAUTION-level risk due to micro-scale operation (4 units), undisclosed going concern status, lack of audited financial data, and inability to validate profitability claims through multiple franchisee references.
Score breakdown · what drove the 57 / 100 rating
- 01MINOROnly 4 units in system with unknown growth trajectory suggests nascent or stagnant franchise with minimal proven scalability
- 02HIGHGoing Concern status is FALSE — indicates potential financial distress or operational uncertainty at corporate level
- 03MINORNo Item 19 financial performance representations provided — cannot independently verify the $578,900 avg revenue and $270,813 net income claims
- 04MINORHigh initial investment ($405k-$622k) relative to tiny unit count creates concentration risk and limits ability to learn from peer franchisees
- 05MEDExtremely limited franchisee base (4 units) means minimal support network and difficulty obtaining honest peer validation
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
3 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Bang Cookies · FDD (2024) PDF