L & L Hawaiian BarbecueFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
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). SBA 7(a) loans show a 12.5% charge-off rate across 12 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $254K – $838K
- 14th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- 4.0%
- 3rd pct Service Resta…
- Units
- 227
- 45th pct Service Resta…
- SBA default
- 12.5%
- system-wide median varies by category
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchising since 1991. Systems this mature have refined operations and brand recognition.
Franchised units fell from 220 to 206 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $254K – $838K including a $35K franchise fee, 4.0% ongoing royalty.
- Item 19 discloses "gross_sales" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict A (Top Quintile) with a risk score of 38/100. SBA loan charge-off rate of 12.5% across 12 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- L & L Franchise, Inc.
- Incorporated in
- HI
- HQ
- 2138 Algaroba Street, Honolulu, Hawaii 96826
- Auditor
- KKDLY LLC
- Audited financials
- Franchisor revenue
- $8.8M
- vs $9.8M prior year
Affiliated brands
- have developed a dist
Other brands the franchisor or its parent operates (Item 1).
Overview
About
L&L Hawaiian Barbecue franchisees operate quick-service casual dining restaurants focused on Hawaiian-style grilled meats, plate lunches, and local cuisine. Day-to-day operations include food preparation, inventory management, staffing, customer service, and maintaining brand standards across dine-in, takeout, and potentially delivery channels.
- CEO
- Elisia Flores
- Headquarters
- HI
- Founded
- 1991
- FDD year
- 2025
- States available
- 16
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
- Better than avg vs category
- Liquid capital req'd
- $20K – $36K
- Better than avg vs category
- Franchise fee
- $35K – $35K
- Better than avg vs category
- Royalty
- 4.0%
- percentage_of_gross · 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 | $11K |
| Total fee load | 3.5% of rev |
Financial Performance
This brand's FDD disclosed "gross_sales" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Full-Service Restaurants averages
How L & L Hawaiian Barbecue Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 227
- Opened
- 8
- Last reporting year
- Closed
- 6
- Turnover rate
- 2.6%
- Company-owned
- 7
- Corporate units in the system
- % franchised
- 97%
- vs corporate-owned
- Net growth (yr3)
- +0.9%
- Net unit change last year
- 3-yr CAGR
- +6.8%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 5
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
- 12.5%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 87.5%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 8
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
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)
5 case reference(s): 1 pending, 0 settled.
Largest disclosed settlement: $1
Bankruptcy (Item 4)
Disclosed in last 7 years
BANKRUPTCY ........................................................................................ 15 ITEM 6. OTHER FEES .......................................................................................... 16 ITEM 7: ESTIMATED INITIAL INVESTMENT................................................
Audited financials (Item 21)
Yes · KKDLY LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 38 / 100 rating
- 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
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Protected territory | No |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 5 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Hawaii |
| Litigation count | 3 |
View Item 3 litigation summary
5 case reference(s): 1 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 13 hrs
- On-the-job training
- 121 hrs
- Training location
- On-site and corporate
- 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 L & L Hawaiian Barbecue's franchise failure rate?
Based on SBA 7(a) loan data, L & L Hawaiian Barbecue has a charge-off rate of 12.5% across 12 loans, meaning 12.5% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
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 risk score of 38 out of 100, 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.