FranchiseVerdict
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FV-01093·CAUTIONExcellent86

Grabbagreen

Food & Beverage - Quick ServiceFranchising since 2015Website
Investment
$284K – $627K
57th pct Quick Service
Avg revenue
60th pct Quick Service
Royalty
Units
4
14th pct Quick Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $284K – $627K including a $30K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 75/100. SBA loan default rate of 0.0% across 8 loans (below the industry average).
  • 20 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

Legal entity
MTY Franchising USA, Inc.
Parent company
MTY Franchising Inc.
Incorporated in
Tennessee
HQ
9311 E Via De Ventura, Scottsdale, Arizona 85258
Auditor
PricewaterhouseCoopers LLP
Audited financials
Franchisor revenue
$597.5M
vs $606.6M 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 Grabbagreen unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: qsr
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $284K–$627K
Working capital
$
FDD reports $15K–$20K

Unlevered ROIC · per unit

24%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$113K
EBITDA margin
15.0%
Total invested
$473K
Payback
50 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.

Overview

About

Grabbagreen franchisees operate fast-casual health-focused restaurants specializing in juices, smoothies, and prepared meals. Day-to-day operations include food prep, customer service, inventory management, and point-of-sale transactions in small-format retail locations, typically in high-traffic urban or suburban areas.

CEO
Eric Lefebvre
Founded
1979
FDD year
2025
States available
3

Item 7 · what it costs

The Vitals

Total investment
$284K – $627K
All-in to open one unit
Liquid capital
$15K – $20K
Cash you must have on hand
Franchise fee
$30K
Royalty
Greater of 6% of total weekly Gross Sales or $400 per week
Ad fund
1.0%
typical 3–5%
Total fee load
7.0%
vs 9–13% typical

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

Total units
4
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
-42.9%
Net unit change last year
3-yr CAGR
-69.2%
Compounded over last 3 years
2023
4±0
Franchised units
2024
7
Franchised units
2025
13
Franchised units

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).

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 · 5 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
8
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

75
Risk · 0-100
CAUTION75 / 100

Grabbagreen presents HIGH RISK due to catastrophic unit decline (-43% YoY), absence of Item 19 financials, documented litigation for franchise law violations, and unclear franchisor stability—unsuitable for capital-intensive franchise investment.

Score breakdown · what drove the 75 / 100 rating

  1. 01MINORUnit count collapsed 42.9% YoY (from ~7 to 4 units) indicating severe system contraction and franchisee failure rate
  2. 02MINORNo Item 19 financial disclosure — cannot verify average unit economics, profitability, or ROI claims
  3. 03HIGHMultiple litigation cases including franchise law violations and state administrative actions in Maryland and Virginia suggest compliance/governance issues
  4. 04MINORRoyalty structure ($400/week minimum = ~$20,800/year) represents high fixed cost burden on declining unit volumes, pressure on franchisee profitability
  5. 05MINORHigh investment ceiling ($626,575) with unverified revenue/net income creates extreme downside risk without financial benchmarks
  6. 06HIGHGoing Concern = False status suggests potential financial instability or operational viability questions at franchisor level

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
20
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
Optional
Governing law
Arizona

Item 11

Training & Operations

Classroom training
40 hrs
On-the-job training
80 hrs

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

5 numbers

Locked
(608) 266-••••
WI
(217) 782-••••
IL
(480) 362-••••
AZ

One-time purchase · CSV download · Validation questions included

FDD download

Grabbagreen · FDD (2025) PDF

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