Dickey's Barbecue Pit
Bottom line
- Total investment $210K – $529K including a $20K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 63/100. SBA loan default rate of 0.0% across 344 loans (below the industry average).
- 11 litigation matters disclosed in Item 3 — higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
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 Dickey's Barbecue Pit unit return on the cash you put in?
Unlevered ROIC · per unit
27%
Below typical band (30–60%)
Overview
About
Franchisees operate casual fast-casual barbecue restaurants serving smoked meats, sides, and beverages. Day-to-day operations include food preparation using proprietary smoking techniques, counter service or limited table service, inventory management, staff hiring/training, and local marketing. Most locations operate as standalone units or small multi-unit operations with 15-40 employees.
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 · 11 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
Dickey's presents HIGH RISK due to significant unit contraction (-17.9% YoY), multiple active franchisee litigation cases alleging fraud/breach, complete absence of profitability disclosure, and a data security incident—collectively suggesting a deteriorating franchise system with deteriorating franchisor-franchisee relations.
Score breakdown · what drove the 63 / 100 rating
- 01MEDUnit count declined 17.9% year-over-year (386 units), indicating system contraction and potential franchisee struggle
- 02HIGHMultiple franchisee litigation cases alleging breach of contract, fraud, and misrepresentation suggest systemic franchisor-franchisee relationship problems
- 03MINORNo average revenue or net income disclosure (Item 19) prevents ability to assess actual franchisee profitability and ROI
- 04MINORData security class-action settlement indicates operational/compliance vulnerabilities and potential reputational damage
- 05MINOR20-year term is unusually long and locks franchisees into relationship with declining system
- 06MED6% royalty on undisclosed revenue base creates uncertainty about true cost structure and break-even point
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
80 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Dickey's Barbecue Pit · FDD (2025) PDF