Bottom line
- Total investment $1.3M – $2.9M including a $50K franchise fee, 3.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 65/100.
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
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 Gyushige unit return on the cash you put in?
Unlevered ROIC · per unit
6%
Below typical band (30–60%)
Overview
About
Gyushige franchisees operate upscale Japanese wagyu beef restaurants featuring premium yakiniku (grilled meat) service. Day-to-day operations include sourcing high-grade beef inventory, managing table-grill service, training specialized culinary staff, and maintaining strict quality/food safety protocols consistent with premium dining positioning.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
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
Pre-scaling specialty restaurant franchise with extreme opacity on unit economics, single operational location, and prohibitively high capital requirements — validation impossible without detailed financial disclosure.
Score breakdown · what drove the 65 / 100 rating
- 01MINOROnly 1 franchised unit in system with unknown growth trajectory — suggests brand is pre-scaling or stalled
- 02MINORNo average revenue or net income disclosure (Item 19) — impossible to validate ROI on $1.3M-$2.9M investment
- 03MINORExtremely wide investment range ($1.6M spread) indicates inconsistent build-out costs and unclear unit economics
- 04MEDHigh initial investment ($1.28M-$2.9M) combined with undisclosed profitability creates severe financial risk
- 05MINOR3-5% royalty on top of unknown baseline costs — true net margins cannot be assessed
- 06MINORSingle unit franchise system raises questions about franchisor viability, support infrastructure, and proof of concept
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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.
FDD download
Gyushige · FDD (2025) PDF