Bottom line
- Total investment $544K – $1.1M including a $40K franchise fee, 4.5% 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 Kyochon 1991 unit return on the cash you put in?
Unlevered ROIC · per unit
13%
Below typical band (30–60%)
Overview
About
Kyochon 1991 franchisees operate quick-service Korean fried chicken restaurants, managing daily operations including food preparation, inventory, staffing, and customer service. Franchisees are responsible for marketing, local promotions, and maintaining brand standards while paying 4.5% royalties on gross revenue to corporate.
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 20 · 4 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
Kyochon 1991 is a micro-franchise system with opaque financial performance, unprotected territories, and insufficient historical data to validate franchise viability.
Score breakdown · what drove the 65 / 100 rating
- 01MEDOnly 5 units system-wide indicates extremely limited track record and minimal scalability validation
- 02MEDNo revenue or profitability disclosure (missing Item 19) prevents ROI assessment and raises transparency concerns
- 03MINORUnprotected territory creates direct competition risk from other franchisees in same market
- 04MINORShort 3-year term limits franchisee investment recovery window and increases renewal uncertainty
- 05MEDHigh investment range ($543.5K–$1.088M) with no disclosed average unit volumes to validate payback period
- 06MINORUnknown unit growth trajectory suggests stagnation or lack of franchisor expansion capability
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
4 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Kyochon 1991 · FDD (2025) PDF