Beef 'O' Brady's
Formerly known as FSC Franchise Co.
Bottom line
- Total investment $813K – $1.5M including a $25K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.7M/year (median $1.6M).
- Rated STRONG with a risk score of 53/100. SBA loan default rate of 0.0% across 119 loans (below the industry average).
- System contracting at -8.3% 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 Beef 'O' Brady's unit return on the cash you put in?
Unlevered ROIC · per unit
23%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Beef 'O' Brady's units return on equity?
Equity IRR · 5-yr
35.1%
4.50× MOIC
Year-1 DSCR
2.33×
EBITDA ÷ debt service
Equity required
$5.1M
on $14.5M purchase
Total debt
$9.3M
SBA $5.0M + senior + seller note
Overview
About
Franchisees operate casual dining restaurants serving beef-focused entrees, appetizers, and beverages in a full-service or limited-service format. Day-to-day responsibilities include staff scheduling/training, food cost management, local marketing, customer service oversight, and P&L monitoring across typically 3,000-4,500 sq ft locations.
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 · 15 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
Beef 'O' Brady's presents CAUTION-level risk: a contracting 125-unit system with significant capital requirements, non-disclosed profitability metrics, and declining growth trajectory that warrant deep due diligence before committing $812K+.
Score breakdown · what drove the 53 / 100 rating
- 01MINORUnit count declining 2.9% YoY (125 units) signals system contraction and potential market saturation
- 02MEDNet income not disclosed in Item 19 — cannot validate actual profitability or ROI against $812K-$1.46M investment
- 03MEDHigh initial investment ($812K-$1.46M) paired with undisclosed earnings creates opacity on payback period
- 04MINORAverage revenue of $1.7M appears modest relative to QSR standards; unclear if sufficient to cover labor, COGS, occupancy, and 5% royalties
- 05HIGHNo litigation disclosed is positive, but declining unit trajectory and missing financial data suggest franchisor may not disclose full picture
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
79 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Beef 'O' Brady's · FDD (2025) PDF