FranchiseVerdict
KPOT Hot Pot & Barbecue logo
FV-01432·MODERATEStandard76

KPOT Hot Pot & Barbecue

Formerly known as KPOT Korean BBQ & Hot Pot

Food & Beverage - Full ServiceFranchising since 2021Website
Investment
$733K – $1.9M
80th pct Full Service
Avg revenue
57th pct Full Service
Royalty
5.0%
15th pct Full Service
Units
54
73rd pct Full Service
SBA default

Bottom line

  • Total investment $733K – $1.9M including a $50K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 62/100.
  • System growing at 1000.0% CAGR over 3 years with 54 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
KPOT FRANCHISE LLC
Parent company
KPOT Enterprises, LLC
Incorporated in
New Jersey
HQ
19 Quail Run, Randolph, New Jersey 07869
Auditor
Wei, Wei & Co., LLP
Audited financials
Franchisor revenue
$647K
vs $3.1M 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 KPOT Hot Pot & Barbecue 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: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $733K–$1.9M
Working capital
$
FDD reports $75K–$150K

Unlevered ROIC · per unit

8%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$113K
EBITDA margin
15.0%
Total invested
$1.4M
Payback
153 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

Franchisees operate full-service hot pot and Korean BBQ table-cooking restaurants where customers cook meat, seafood, and vegetables in individual broths/grills at their tables. Day-to-day operations include managing 80-150+ seat dining rooms, hiring/training servers experienced in guiding table-cooking experiences, maintaining ingredient freshness, handling specialty supply chains, managing peak dinner crowds, and balancing labor-intensive service models with food cost controls.

CEO
Su Li
Founded
2021
FDD year
2024
States available
17

Item 7 · what it costs

The Vitals

Total investment
$733K – $1.9M
All-in to open one unit
Liquid capital
$75K – $150K
Cash you must have on hand
Franchise fee
$50K
Royalty
5.0%
Gross Sales · typical 6–8%
Ad fund
$2,000 per month
Total fee load
5.0%
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
54
Opened
32
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
15
Corporate units in the system
% franchised
72%
vs corporate-owned
Net growth (yr3)
Outlier (see FDD)
Likely small-sample artifact
3-yr CAGR
Outlier (see FDD)
Likely small-sample artifact
2022
39+38
Franchised units
2023
7
Franchised units
2024
1
Franchised units

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

Item 20 · 14 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 · 14 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.

No SBA loan data available for this brand.

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

Risk & Legal

62
Risk · 0-100
MODERATE62 / 100

KPOT's explosive 457% unit growth, absence of financial disclosures, questionable going concern status, and high capital requirements create meaningful profitability uncertainty despite the protected territory advantage.

Score breakdown · what drove the 62 / 100 rating

  1. 01MEDNo Item 19 financial performance data disclosed — impossible to validate ROI claims or average unit economics
  2. 02MINORHypergrowth of 457% YoY unit expansion suggests potential market saturation risk and quality control challenges
  3. 03HIGHGoing Concern status is FALSE, indicating potential financial instability at corporate level despite rapid growth
  4. 04MEDHigh initial investment range ($733K-$1.9M) with no disclosed average revenue creates opacity on breakeven timeline
  5. 05MINORWide investment spread ($1.18M variance) suggests inconsistent build-out costs or unstandardized operations
  6. 06MED54 total units is still a nascent system — limited historical data on franchisee long-term profitability

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
20 years
Renewal term
10 years
Online sales rights
Restricted
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
Optional
Governing law
New Jersey

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
61 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

16 numbers

Locked
(410) 576-••••
MD
(317) 232-••••
IN
(804) 371-••••
VA

One-time purchase · CSV download · Validation questions included

FDD download

KPOT Hot Pot & Barbecue · FDD (2024) PDF

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