Bottom line
- Total investment $238K – $1.1M including a $45K franchise fee, 8.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 71 loans (below the industry average).
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
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 CRAVE unit return on the cash you put in?
Unlevered ROIC · per unit
14%
Below typical band (30–60%)
Overview
About
CRAVE franchisees operate casual dining or food-service establishments (likely fast-casual or quick-service based on typical franchise model) focused on a specific cuisine or concept. Daily operations include food preparation, staffing, inventory management, customer service, facility maintenance, and brand compliance reporting to the franchisor.
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 · 30 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
CRAVE presents high risk due to declining unit count, pending litigation over fraudulent misrepresentation, unverified financial claims, and lack of territorial protection—avoid until litigation is resolved and Item 19 financials are disclosed.
Score breakdown · what drove the 61 / 100 rating
- 01MEDUnit count declined 8.3% YoY (22 units) indicating system contraction and potential franchisee dissatisfaction
- 02HIGHActive litigation involving fraudulent misrepresentation and franchise law violations creates legal and reputational risk
- 03MINORNo revenue or profitability disclosure (Item 19 absent) prevents validation of $237.5K-$1.1M investment ROI claims
- 04MED8% royalty rate on undisclosed average sales makes true net income calculation impossible
- 05MINORZero territory protection enables franchisor to saturate markets and cannibalize existing franchisee performance
- 06HIGHGoing concern status suggests financial instability at corporate level
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
64 numbers
One-time purchase · CSV download · Validation questions included
FDD download
CRAVE · FDD (2025) PDF