FranchiseVerdict
Froggy’s logo
FV-01008·CAUTIONExcellent86

Froggy’s

Formerly known as Durar Investment

Food & Beverage - Full ServiceFranchising since 2024Website
Investment
$198K – $567K
18th pct Full Service
Avg revenue
$634K
7th pct Full Service
Royalty
6.0%
54th pct Full Service
Units
5
26th pct Full Service
SBA default

Bottom line

  • Total investment $198K – $567K including a $35K franchise fee, 6.0% ongoing royalty.
  • Average unit revenue of $634K/year (median $602K).
  • Rated CAUTION with a risk score of 70/100.
  • No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Froggy’s Franchise LLC
Incorporated in
New York
HQ
253 Route 100, Unit B, Somers, New York 10589
Auditor
Metwally CPA PLLC
Audited financials
Franchisor revenue
$9K
Most recent fiscal 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 Froggy’s unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $634,171
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: $198K–$567K
Working capital
$
FDD reports $50K–$100K

Unlevered ROIC · per unit

21%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$95K
EBITDA margin
15.0%
Total invested
$457K
Payback
58 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 Froggy’s 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

$1.0M

on $5.1M purchase

Total debt

$4.1M

SBA $2.5M + senior + seller note

Overview

About

Froggy's appears to be a casual dining or quick-service restaurant concept (likely frog/amphibian-themed based on branding). Franchisees manage daily operations including food preparation, customer service, staff scheduling, inventory management, and local marketing while paying 6% of gross sales to the franchisor.

CEO
John Russo
Founded
2023
FDD year
2025
States available
2

Item 7 · what it costs

The Vitals

Total investment
$198K – $567K
All-in to open one unit
Liquid capital
$50K – $100K
Cash you must have on hand
Franchise fee
$35K
Royalty
6.0%
Percentage of Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
8.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$634K
Per unit, per year
Median gross sales
$602K
Item 19 type
Historical Performance of Company Owned Outlets
Sample size
4 units
vs category median 15 · small
Range (low → high)
$524K$809K
Cohort dispersion
Transparency
4 / 5
vs category median 4 / 5 · typical
Revenue rank7th
vs Food & Beverage - Full Service peers
Investment cost rank18th
Lower investment ranks lower (better)
Royalty rate rank54th
Lower royalty = lower percentile (better)
Unit count rank26th
vs Food & Beverage - Full Service peers
Risk score rank81th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
5
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
5
Corporate units in the system
% franchised
0%
vs corporate-owned
2023
0±0
Franchised units
2024
0
Franchised units
2025
0
Franchised units

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

Item 12 · 2 states reported

The Territory Map

FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.

2

states with franchisees (per FDD Item 12)

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

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

Risk & Legal

70
Risk · 0-100
CAUTION70 / 100

Froggy's presents HIGH RISK due to going concern status, micro-sized system (5 units), missing financial disclosure, unprotected territories, and unknown growth trends.

Score breakdown · what drove the 70 / 100 rating

  1. 01HIGHGoing Concern status indicates financial distress or uncertainty at franchisor level
  2. 02MINOROnly 5 units systemwide suggests minimal scale, unproven model, or significant attrition
  3. 03MEDNo Item 19 (average unit economics) disclosed — unable to verify if $634k revenue translates to profitability
  4. 04MINORUnprotected territory creates direct competition risk from other franchisees in same market
  5. 05MINORUnknown unit growth trajectory — no clarity on whether system is expanding or contracting
  6. 06MINORWide investment range ($197.5k-$566.5k) indicates inconsistent startup costs and operational models
  7. 07MED6% royalty on undisclosed net income could be unsustainable if margins are thin

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/Population
Protected territory
No
Initial term
10 years
Renewal term
10 years
Online sales rights
Granted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
New York

Item 11

Training & Operations

Classroom training
36 hrs
On-the-job training
214 hrs
POS system
NCR Voyix
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

4 numbers

Locked
(212) 416-••••
NY
(214) 200-••••
UT
(360) 902-••••
UT

One-time purchase · CSV download · Validation questions included

FDD download

Froggy’s · FDD (2025) PDF

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