Bottom line
- Total investment $345K – $544K including a $25K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.1M/year.
- Rated MODERATE with a risk score of 63/100.
- 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 KUMA ANI unit return on the cash you put in?
Unlevered ROIC · per unit
33%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 KUMA ANI units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.7M
on $8.6M purchase
Total debt
$6.9M
SBA $4.3M + senior + seller note
Overview
About
KUMA ANI franchisees operate a restaurant or food service concept serving [anime/Asian/specialty cuisine — exact concept unclear from limited data]. Daily operations likely include food preparation, customer service, inventory management, and point-of-sale management, though specific operational requirements are not detailed in available information.
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 · 8 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Micro-franchise system with only 2 units, undisclosed profitability metrics, and unclear growth trajectory presents elevated risk due to insufficient data validation and unproven scalability.
Score breakdown · what drove the 63 / 100 rating
- 01MEDOnly 2 existing franchised units — extremely limited system size makes performance data unreliable and raises scalability concerns
- 02MEDNet income not disclosed in FDD Item 19 — impossible to validate profitability claims or understand true unit economics
- 03MINORHigh investment-to-unit ratio ($344.5k-$544k) against average revenue of $1.08M suggests thin margins and extended payback periods
- 04MINORUnknown unit growth trajectory — no clarity on whether the 2-unit system is growing, stagnant, or declining
- 05MEDMinimal franchisee sample size (2 units) creates significant selection bias and survivorship bias in disclosed revenue figures
- 06MINOR5% royalty on gross revenue (not net) adds fixed cost burden during slow periods
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
9 numbers
One-time purchase · CSV download · Validation questions included
FDD download
KUMA ANI · FDD (2025) PDF