Golden Krust Caribbean RestaurantFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Golden Krust Caribbean Restaurant franchise requires a total initial investment of $213K – $776K, including a $40K franchise fee and an ongoing 5.0% royalty[2]. Per the 2024 FDD, average unit revenue was $1.3M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $213K – $776K
- 35th pct Service Resta…
- Avg gross sales
- $1.3M
- 43rd pct Service Resta…
- Royalty
- 5.0%
- 13th pct Service Resta…
- Units
- 108
- 75th pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-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
Franchising since 1996. Systems this mature have refined operations and brand recognition.
Bottom line
- Total investment $213K – $776K including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.3M/year.
- Verdict A (Top Quintile) with a risk score of 23/100.
- 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
- Golden Krust Franchising, Inc.
- CEO title
- Chief Executive Officer
- Zehra Sheriff
- Incorporated in
- NY
- HQ
- 399 Knollwood Rd, Suite 117, White Plains, NY 10603
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $5.2M
- vs $5.9M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Golden Krust franchisees operate Caribbean quick-service restaurants featuring jerk chicken, beef patties, rice-and-peas, and tropical beverages, primarily serving walk-in and carryout customers in urban markets. Day-to-day operations involve food preparation, inventory management, staffing, and marketing within limited geographic footprints without territorial protection.
- CEO
- Zehra Sheriff
- Headquarters
- NY
- Founded
- 1995
- FDD year
- 2024
- States available
- 8
FDD Item 7 · 2024 filing · 12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Leasehold Improvements | $81K | $407K | |
| Furniture, Fixtures and Equipment | $48K | $98K | |
| POS - Computer Hardware & Implementation | $3K | $4K | |
| Signage | $4K | $16K | |
| First Month's Rent | $3K | $15K | |
| Security Deposit | $0 | $45K | |
| Opening Inventory and Supplies | $10K | $18K | |
| Grand Opening Advertising | $3K | $10K | |
| Training Expenses | $3K | $5K | |
| Miscellaneous Opening Costs | $8K | $18K | |
| Additional Funds - 3 months | $10K | $100K | |
| Total initial investment | $213K | $776K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
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
$207K
15.5% margin
Unlevered ROIC
38%
EBITDA / total invested capital
Payback
32 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $213K – $776K
- Better than avg vs category
- Liquid capital req'd
- $10K – $100K
- Better than avg vs category
- Franchise fee
- $40K – $40K
- Below avg, review vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 1.5% of gross sales |
| Transfer fee | $10K |
| Renewal fee | $25K |
| Total fee load | 6.5% of rev |
A 6.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $1.3M
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Historic Performance
- Sample size
- 106 units
- vs category median 28 · large
- Range (low → high)
- $131K→$4.1M
- Cohort dispersion (min → max)
- Quartile band
- $558K→$2.5M
- Bottom 25% → top 25%
- Reporting year
- 2023
- Fiscal year the figures cover
- Transparency
- 3 / 5
- vs category median 4 / 5 · below
Compared against 453 Quick-Service Restaurants brands
vs Quick-Service Restaurants averages
How Golden Krust Caribbean Restaurant Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 108
- Opened
- 4
- Last reporting year
- Closed
- 5
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 1
- Term expired, not renewed (per Item 20)
- Turnover rate
- 4.6%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (yr3)
- -0.9%
- Net unit change last year
- 3-yr CAGR
- -0.9%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 5
- Franchisor's next-year forecast
- Termination rate
- 0.9%
- Franchisor-initiated terminations
- Ceased ops
- 4.6%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 5 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.
- Total loans
- 25
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Golden Krust presents a CAUTION-to-HIGH RISK profile due to shrinking unit base, unresolved litigation over fee practices and competition, undisclosed profitability metrics, and franchisor financial concerns—requiring extensive validation before commitment.
Litigation (Item 3)
Golden Krust Franchising, Inc. involved in two arbitration cases: (1) v. Keith Clayborne et al. - Resolved with $393,746.00 compensatory damages, $304,419.79 attorneys' fees, $12,459.05 arbitration costs awarded to franchisor; (2) Auctus Restaurant Group, Inc. and Klayrock, LLC v. Golden Krust Franchising Inc. - Pending arbitration involving breach of franchise agreements, FDUTPA violations, antitrust claims, and counterclaim by franchisor.
Largest disclosed settlement: $304,420
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP
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 23 / 100 rating
- 01MINORDeclining unit count (-0.9% YoY) signals system contraction and potential franchisee dissatisfaction
- 02HIGHActive litigation involving non-competition, breach of contract, and discriminatory fee practices suggests franchisor-franchisee conflict and operational inconsistency
- 03MEDNet income not disclosed in Item 19 prevents accurate ROI calculation; with $212,600-$775,900 investment required, profitability opacity is critical gap
- 04MINORRoyalty floor of $250/week ($13,000 annually) creates fixed burden even during low-revenue periods, compressing margins for struggling locations
- 05MINORUnprotected territory exposes franchisees to direct competition from other Golden Krust units and cannibalization risk
- 06MINORModest average unit volume ($1.33M) against high investment ceiling suggests inconsistent unit performance and potential for below-average returns
- 07HIGHGoing Concern status (False) indicates franchisor financial instability or operational red flags flagged by accountants
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 | 1 |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | White Plains, New York |
| Governing law | New York |
| Litigation count | 3 |
View Item 3 litigation summary
Golden Krust Franchising, Inc. involved in two arbitration cases: (1) v. Keith Clayborne et al. - Resolved with $393,746.00 compensatory damages, $304,419.79 attorneys' fees, $12,459.05 arbitration costs awarded to franchisor; (2) Auctus Restaurant Group, Inc. and Klayrock, LLC v. Golden Krust Franchising Inc. - Pending arbitration involving breach of franchise agreements, FDUTPA violations, antitrust claims, and counterclaim by franchisor.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 120 hrs
- Training location
- On-site and franchisor location
- Time to open
- 9 mo
- From signing to launch
- POS system
- TOAST
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: TOAST
Item 20 · call current owners
Franchisee Contacts
72 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Golden Krust Caribbean Restaurant · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Golden Krust Caribbean Restaurant franchise?
The total investment to open a Golden Krust Caribbean Restaurant franchise ranges from $213K – $776K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Golden Krust Caribbean Restaurant franchise owners earn?
According to Item 19 of the Golden Krust Caribbean Restaurant FDD, the average gross sales per unit is $1.3M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Golden Krust Caribbean Restaurant's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Golden Krust Caribbean Restaurant (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 Golden Krust Caribbean Restaurant franchise locations are there?
As of their most recent FDD filing, Golden Krust Caribbean Restaurant has 108 total units in the United States, including 106 franchised units and 2 company-owned units. 4 new units were opened in the latest reporting year.
Is Golden Krust Caribbean Restaurant a good franchise to buy?
FranchiseVerdict rates Golden Krust Caribbean Restaurant as a A-grade franchise with a risk score of 23 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.