Beard Papa’s
Formerly known as Muginoho International
Bottom line
- Total investment $201K – $477K including a $45K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100. SBA loan default rate of 0.0% across 7 loans (below the industry average).
- System contracting at -15.0% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
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 Beard Papa’s unit return on the cash you put in?
Unlevered ROIC · per unit
23%
Below typical band (30–60%)
Overview
About
Beard Papa's franchisees operate specialty cream puff and dessert shops, primarily in mall food courts and street-level retail locations. Daily operations include baking fresh cream puffs, assembling desserts with various fillings, managing customer orders, staffing 3-8 employees, and handling point-of-sale transactions. Franchisees source ingredients, maintain food safety compliance, and execute marketing in their assigned territory.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 10 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
Beard Papa's presents HIGH RISK due to significant unit decline, missing financial disclosures, unprotected territory, and potential franchisor financial instability—investment is difficult to justify without Item 19 data.
Score breakdown · what drove the 72 / 100 rating
- 01MEDUnit count declined 19% YoY (36 units) suggesting system contraction and potential market saturation or operational issues
- 02MEDNo average revenue or net income disclosure (Item 19 missing) prevents ROI validation and profitability assessment
- 03MINORNo territory protection exposes franchisees to direct competition from other Beard Papa's locations and cannibalization
- 04MEDHigh initial investment ($200,900–$477,000) combined with 5% royalty creates substantial financial risk without disclosed unit economics
- 05HIGHGoing Concern status is False, indicating potential financial instability at franchisor level
- 06MED10-year term locks franchisees into declining system with limited exit flexibility
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
30 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Beard Papa’s · FDD (2026) PDF