Hungry Howie's
Bottom line
- Total investment $359K – $519K including a $25K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $818K/year (median $778K).
- Rated STRONG with a risk score of 45/100. SBA loan default rate of 0.0% across 117 loans (below the industry average).
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 Hungry Howie's unit return on the cash you put in?
Unlevered ROIC · per unit
17%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Hungry Howie's units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$409K
on $2.0M purchase
Total debt
$1.6M
SBA $1.0M + senior + seller note
Overview
About
Franchisees operate quick-service pizza and submarine sandwich restaurants, managing kitchen prep, in-store and delivery operations, staff scheduling, and local marketing. Daily responsibilities include food preparation, customer service (dine-in, carryout, delivery), inventory management, and P&L oversight for a typically 1,000-2,000 sq ft location.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 17 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 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Hungry Howie's presents moderate-to-caution risk: declining unit count, undisclosed profitability, and missing financial transparency raise questions about system health and franchisee viability despite low litigation and protected territories.
Score breakdown · what drove the 45 / 100 rating
- 01MINORUnit count declining 1.9% YoY indicates system contraction and potential franchisee dissatisfaction
- 02MEDNet income not disclosed in Item 19 prevents ROI validation and return predictability assessment
- 03MINORHigh initial investment ($358k-$519k) with 5.5% royalty requires $45k+ annual sales just to cover royalties at average unit performance
- 04MINORAverage revenue of $817k is modest for pizza/sub category; typical top performers exceed $1.2M, suggesting middle-of-pack unit economics
- 05HIGHNo going concern statement absent—unusual omission that warrants clarification on franchisor financial stability
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.
Franchisee contacts
22 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Hungry Howie's · FDD (2025) PDF