Frank & Furter’sFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Frank & Furter’s franchise requires a total initial investment of $351K – $875K, including a $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2025 FDD, average unit revenue was $642K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $351K – $875K
- 23rd pct Service Resta…
- Avg gross sales
- $642K
- 4th pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 3
- 8th pct Service Resta…
- SBA default
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
Bottom line
- Total investment $351K – $875K including a $35K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $642K/year (median $729K).
- Verdict A (Top Quintile) with a risk score of 42/100.
- Auditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- FRANKNFURTERS FRANCHISING LLC
- Parent company
- Franknfurters, Inc.
- CEO title
- CEO/Director
- Charles Bruce
- Incorporated in
- AZ
- HQ
- 4250 N Drinkwater Blvd, Suite #165, Scottsdale, AZ 85251
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Overview
About
Frank & Furter's franchisees operate casual dining or food service establishments (likely hot dog/specialty sausage-focused given the brand name) serving customers directly, managing inventory, staff, food preparation, and day-to-day operations. Franchisees are responsible for local marketing, customer service, and maintaining brand standards across their protected territory.
- CEO
- Charles Bruce
- Headquarters
- AZ
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $25K | $40K |
| Equipment, build-out, other | $291K | $800K |
| Total initial investment | $351K | $875K |
Source: Frank & Furter’s 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$67K
10.5% margin
Unlevered ROIC
10%
EBITDA / total invested capital
Payback
9.6 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $351K – $875K
- Better than avg vs category
- Liquid capital req'd
- $25K – $40K
- Better than avg vs category
- Franchise fee
- $35K – $35K
- Better than avg vs category
- Royalty
- 6.0%
- Net Sales · typical 6–8%
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 7.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.5% of gross sales |
| Technology fee | $800 |
| Training fee | $1K |
| Transfer fee | $10K |
| Renewal fee | $25 |
| Total fee load | 7.5% of rev |
Financial Performance
- Avg gross sales
- $642K
- Per unit, per year
- Median gross sales
- $729K
- Item 19 type
- net_sales
- Sample size
- 3 units
- vs category median 13 · small
- Range (low → high)
- $434K→$763K
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Transparency
- 4 / 5
- vs category median 4 / 5 · typical
Compared against 1264 Full-Service Restaurants brands
vs Full-Service Restaurants averages
How Frank & Furter’s Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 3
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 12
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 7 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Micro-franchise with opaque profitability data, unclear unit growth, and limited operating history—suitable only for investors who can validate earnings independently with existing franchisees.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 42 / 100 rating
- 01MINOROnly 3 units in system with unknown growth trajectory suggests minimal scale and potentially stagnant or shrinking franchise
- 02MEDNet income not disclosed in FDD Item 19 prevents validation of profitability claims and actual franchisee earnings
- 03MINORWide investment range ($351k-$874k) indicates high variability in startup costs with unclear cost drivers
- 04MED6% royalty on net sales is relatively high given small system size and limited corporate support infrastructure
- 05HIGHNo disclosed litigation history combined with only 3 units raises questions about transparency and potential undisclosed disputes
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 3 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 0.5 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 35 hrs
- On-the-job training
- 110 hrs
- Ongoing training
- Required
- Field support
- 24 hrs/yr
- On-site visits per year
- Time to open
- 10 mo
- From signing to launch
- POS system
- POS System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: POS System
Item 20 · call current owners
Franchisee Contacts
11 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Frank & Furter’s · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Frank & Furter’s franchise?
The total investment to open a Frank & Furter’s franchise ranges from $351K – $875K, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Frank & Furter’s franchise owners earn?
According to Item 19 of the Frank & Furter’s FDD, the average gross sales per unit is $642K. The median is $729K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Frank & Furter’s's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Frank & Furter’s (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Frank & Furter’s franchise locations are there?
As of their most recent FDD filing, Frank & Furter’s has 3 total units in the United States, including 3 franchised units and 0 company-owned units. 3 new units were opened in the latest reporting year.
Is Frank & Furter’s a good franchise to buy?
FranchiseVerdict rates Frank & Furter’s as a A-grade franchise with a risk score of 42 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.