L & L Hawaiian Barbecue Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
L&L Hawaiian Barbecue is a quick-service franchise serving Hawaiian plate lunches with grilled meats, rice, and macaroni salad. Franchisees run restaurants managing food prep, dine-in and takeout service, and staffing.
FranchiseVerdict summary · 2026
A L & L Hawaiian Barbecue franchise requires a total initial investment of $254K – $838K, including a $35K franchise fee and an ongoing 4.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $254K – $838K
- 39th pct Service Resta…
- Avg gross sales
- N/A
- Incl. company outlets
- Royalty
- 4.0%
- 3rd pct Service Resta…
- Units
- 227
- 85th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $254K – $838K including a $35K franchise fee, 4.0% ongoing royalty.
- RETURNSAudited Exhibit D statements (L & L Franchise, Inc.) cover FY2022 and FY2023; most recent audited year is the year ended December 31, 2023. FY2023 total revenues of $8,768,422 comprise royalty and advertising fees $7,609,589, rebate income $650,278, franchise fees $365,500, and other income $143,055. Item 21 cover page references FY2022/2023/2024 but the exhibit only contains FY2022 and FY2023 audited statements. (Item 8 separately cites unaudited total revenue of $9,849,619 for FY ending 12/31/2024.)
- RISKVerdict A (Strongest tier), verdict score 79/100 (higher is better).
- DATAItem 19 reports gross sales bands rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- L & L Franchise, Inc.
- CEO title
- Chief Executive Officer and Vice Chair
- Elisia Flores
- Incorporated in
- HI
- HQ
- 2138 Algaroba Street, Honolulu, Hawaii 96826
- Auditor
- AKOAY ALE (Honolulu, Hawaii)
- Audited financials
- Franchisor revenue
- $8.8M
- vs $7.8M prior year
Affiliated brands
- have developed a dist
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Elisia Flores
- Headquarters
- HI
- Founded
- 1991
- FDD year
- 2025
- States available
- 16
Can you afford it, and what does the money buy?
Entry cost runs 17% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $20K | $36K |
| Equipment, build-out, other | $199K | $767K |
| Total initial investment | $254K | $838K |
Source: L & L Hawaiian Barbecue 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $254K – $838K
- Top 40% of category vs category
- Liquid capital req'd
- $20K – $36K
- Top 40% of category vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 4.0%
- tiered · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 3.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 4.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $0 |
| Transfer fee | $8K |
| Renewal fee | $10K |
| Inventory (initial) | $10K – $12K |
| Total fee load | 3.5% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
L & L Hawaiian Barbecue did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one L & L Hawaiian Barbecue unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
21%
Below the 30–60% attractive-franchise band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
Audited Exhibit D statements (L & L Franchise, Inc.) cover FY2022 and FY2023; most recent audited year is the year ended December 31, 2023. FY2023 total revenues of $8,768,422 comprise royalty and advertising fees $7,609,589, rebate income $650,278, franchise fees $365,500, and other income $143,055. Item 21 cover page references FY2022/2023/2024 but the exhibit only contains FY2022 and FY2023 audited statements. (Item 8 separately cites unaudited total revenue of $9,849,619 for FY ending 12/31/2024.)
Includes company-owned outlets
- Item 19 type
- gross sales bands
- Sample size
- 216
- vs category median 20 · large
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2025
- The FDD edition these figures were read from
- Transparency
- 0 / 10
- vs category median 4 / 10 · below
Compared against 782 Quick-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 3.5% — below the Quick-Service Restaurants average of 7.9%.
Disclosure
Item 19 reports gross sales bands rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 6.8% CAGR over 3 years across 227 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants averages
How L & L Hawaiian Barbecue Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 227
- Opened
- 8
- Last reporting year
- Closed
- 6
- Turnover rate
- 2.7%
- Company-owned
- 7
- Corporate units in the system
- % franchised
- 97%
- vs corporate-owned
- Net growth (3-yr)
- +6.8%
- Net unit change over 3 years
- 3-yr CAGR
- +6.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 8
- Closed (3yr)
- 6
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 5
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 16 states 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.
16
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 12
- Loan volume
- $2.4M
- Median loan
- $195K
- 50th percentile
- Charge-off rate
- N/A
- no resolved loans yet — rate needs a terminal outcome
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 8
- Defaults
- 1
Vintage analysis
L & L Hawaiian Barbecue charge-off rate by loan vintage
Top lenders financing L & L Hawaiian Barbecue franchisees
Showing 3 of 8 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into L & L Hawaiian Barbecue's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 8 lenders with concentration factor
- Per-state charge-off rates across 6 states
- Startup risk premium and job creation velocity
Instant access. No subscription.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
L&L Hawaiian Barbecue presents significant caution-level risk due to stagnant unit growth, missing financial disclosure, unprotected territories, documented litigation, and undisclosed going concern issues that obscure true profitability and franchisor viability.
Litigation (Item 3)
Three prior arbitration actions, all filed by L & L Franchise Inc. as plaintiff against franchisees for underpayment of fees, false sales reporting, and breach of franchise agreements; awards issued in favor of franchisor in all three cases.
Largest disclosed settlement: $1,029,178
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · AKOAY ALE (Honolulu, Hawaii)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 79 / 100 verdict
- 01MINORVirtually flat unit growth (0.9% YoY) suggests stagnant or declining system health despite 227 locations
- 02MEDNo disclosed average revenue or net income (missing Item 19) prevents accurate ROI assessment and suggests franchisor may be hiding underperformance
- 03MINORThree documented arbitration actions against franchisees within recent period indicate compliance issues and potential franchisor-franchisee relationship strain
- 04MINORUnprotected territory creates direct competition risk; new franchisees could cannibalize sales from nearby units
- 05MINORWide investment range ($253,950–$838,460) indicates unclear startup costs and potential hidden expenses
- 06HIGHGoing Concern status is FALSE, raising questions about corporate financial stability and long-term franchisor support
- 07MINORRoyalty structure (1.5%–4%) variance suggests inconsistent deal terms or performance-based penalties that aren't transparent
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 3.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | none |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 5 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Arbitration location | Honolulu, Hawaii |
| Jury trial waiver | Yes |
| Governing law | HI |
| Litigation count | 3 |
View Item 3 litigation summary
Three prior arbitration actions, all filed by L & L Franchise Inc. as plaintiff against franchisees for underpayment of fees, false sales reporting, and breach of franchise agreements; awards issued in favor of franchisor in all three cases.
Items 10, 11
Training & Operations
- Classroom training
- 13 hrs
- On-the-job training
- 121 hrs
- Training location
- Home office in Honolulu, Hawaii and at designated Restaurants
- Ongoing training
- Required
- Site selection
- Franchisee selects site subject to franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Clover
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Clover
Item 20 · call current owners
Franchisee Contacts
5 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
L & L Hawaiian Barbecue · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a L & L Hawaiian Barbecue franchise?
The total investment to open a L & L Hawaiian Barbecue franchise ranges from $254K – $838K, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do L & L Hawaiian Barbecue franchise owners earn?
L & L Hawaiian Barbecue does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the L & L Hawaiian Barbecue FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the L & L Hawaiian Barbecue FDD and qualifies whose outlets they describe.
What is L & L Hawaiian Barbecue's franchise failure rate?
SBA 7(a) loan charge-off data is not available for L & L Hawaiian Barbecue (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many L & L Hawaiian Barbecue franchise locations are there?
As of their most recent FDD filing, L & L Hawaiian Barbecue has 227 total units in the United States, including 220 franchised units and 7 company-owned units. 8 new units were opened in the latest reporting year.
Is L & L Hawaiian Barbecue a good franchise to buy?
FranchiseVerdict rates L & L Hawaiian Barbecue as a A-grade franchise with a verdict score of 79 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.