FranchiseVerdict
Eight Turn Crepe logo
FV-00842·MODERATEExcellent91

Eight Turn Crepe

Food & Beverage - Full ServiceFranchising since 2022Website
Investment
$206K – $397K
20th pct Full Service
Avg revenue
$464K
4th pct Full Service
Royalty
6.0%
54th pct Full Service
Units
4
20th pct Full Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $206K – $397K including a $40K franchise fee, 6.0% ongoing royalty.
  • Average unit revenue of $464K/year.
  • Rated MODERATE with a risk score of 63/100. SBA loan default rate of 0.0% across 2 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Eight Turn Hospitality Group, LLC
Incorporated in
Florida
HQ
16850 Collins Ave suite #112-178, Sunny Isles Beach, FL 33160
Auditor
REESE CPA LLC
Audited financials
Franchisor revenue
$69K
vs $107K prior year

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 Eight Turn Crepe unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $464,459
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $206K–$397K
Working capital
$
FDD reports $29K–$54K

Unlevered ROIC · per unit

19%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$65K
EBITDA margin
14.0%
Total invested
$343K
Payback
63 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Eight Turn Crepe units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$650K

on $3.3M purchase

Total debt

$2.6M

SBA $1.6M + senior + seller note

Overview

About

Eight Turn Crepe franchisees operate fast-casual crepe restaurants, preparing and serving sweet and savory crepes to customers in dine-in and takeout settings. Day-to-day operations include food preparation, customer service, inventory management, POS systems, and maintaining brand standards in a compact quick-service format.

CEO
Marleen Zhik
Founded
2022
FDD year
2024
States available
1

Item 7 · what it costs

The Vitals

Total investment
$206K – $397K
All-in to open one unit
Liquid capital
$29K – $54K
Cash you must have on hand
Franchise fee
$40K
Royalty
6.0%
Gross Sales · typical 6–8%
Ad fund
3.0%
typical 3–5%
Total fee load
9.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$464K
Per unit, per year
Median gross sales
Item 19 type
Actual Gross Sales
Sample size
2 units
vs category median 15 · small
Range (low → high)
$262K$667K
Cohort dispersion
Transparency
3 / 5
vs category median 4 / 5 · below
Revenue rank4th
vs Food & Beverage - Full Service peers
Investment cost rank20th
Lower investment ranks lower (better)
Royalty rate rank54th
Lower royalty = lower percentile (better)
Unit count rank20th
vs Food & Beverage - Full Service peers
Risk score rank51th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
4
Opened
1
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
75%
vs corporate-owned
Net growth (yr3)
+50.0%
Net unit change last year
3-yr CAGR
+50.0%
Compounded over last 3 years
2022
3+1
Franchised units
2023
2
Franchised units
2024
2
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 18 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 18 states
Not registered

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.

Total loans
2
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

63
Risk · 0-100
MODERATE63 / 100

Eight Turn Crepe presents CAUTION-level risk: a micro-franchise system (4 units) with historical regulatory violations, opaque financials (no net income disclosure), and unproven unit economics that make ROI impossible to validate pre-investment.

Score breakdown · what drove the 63 / 100 rating

  1. 01MINOROnly 4 units in system with 50% YoY growth suggests extremely early-stage franchise with unproven model scalability
  2. 02MEDNet income not disclosed in Item 19 prevents ROI validation; franchisees cannot benchmark profitability against $205k-$397k investment
  3. 03HIGH2019 New York Attorney General litigation for unregistered franchise sales indicates compliance/governance issues in predecessor entity
  4. 04MINORHigh initial investment ($40k franchise fee + $165k-$357k total) relative to only 4 operating units creates concentration risk
  5. 05MED6% royalty on gross sales with undisclosed net income makes it impossible to calculate actual franchisee take-home profit
  6. 06HIGHNo 'Going Concern' status (False) is ambiguous—unclear if franchisor has adequate capitalization to support 4 franchisees

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
radius
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
1
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
No
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
Florida

Item 11

Training & Operations

Classroom training
28 hrs
On-the-job training
28 hrs
POS system
Square POS
Operating tech stack

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

25 numbers

Locked
(217) 782-••••
IL
(517) 373-••••
MI
(605) 773-••••
SD

One-time purchase · CSV download · Validation questions included

FDD download

Eight Turn Crepe · FDD (2024) PDF

Single-page checkout · instant download · CSV export of contacts available separately above