LA Crawfish Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
LA Crawfish is a casual seafood franchise serving Louisiana-style crawfish boils, Cajun dishes, and Viet-Cajun fare. Franchisees run the restaurants, managing the kitchen, dining service, and staffing.
FranchiseVerdict summary · 2026
A LA Crawfish franchise requires a total initial investment of $346K – $504K, including a $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2024 FDD, average unit revenue was $799K[2]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $346K – $504K
- 16th pct Service Resta…
- Avg gross sales
- $799K
- 2nd pct Service Resta…
- Royalty
- 6.0%
- 24th pct Service Resta…
- Units
- 18
- 19th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Full-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 $346K – $504K including a $35K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $799K/year (median $798K).
- RISKVerdict D (Below average), verdict score 33/100 (higher is better).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- LAC Franchising, LLC
- Incorporated in
- TX
- HQ
- 1005 Blalock Road, Houston, Texas 77055
- Auditor
- David P. Chaney, CPA, P.C.
- Audited financials
- Franchisor revenue
- $1.4M
- vs $1.1M prior year
Overview
About
- CEO
- Minson Ngo
- Headquarters
- TX
- Founded
- 2013
- FDD year
- 2024
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 64% below the typical full-service restaurants franchise.
Source: FDD 2024 · Items 5–7
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $35K | $60K |
| Equipment, build-out, other | $276K | $409K |
| Total initial investment | $346K | $504K |
Source: LA Crawfish 2024 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
- $346K – $504K
- Top 40% of category vs category
- Liquid capital req'd
- $35K – $60K
- Top 40% of category vs category
- Franchise fee
- $35K – $35K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $400 |
| Transfer fee | $18K |
| Renewal fee | $18K |
| Total fee load | 7.0% of rev |
What do units actually make?
Average unit sales run 54% below the full-service restaurants norm.
Source: FDD 2024 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$88K
11.0% margin
Unlevered ROIC
19%
EBITDA / total invested capital
Payback
5.4 yrs
cash-on-cash, unlevered
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one LA Crawfish unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
19%
Below the 30–60% attractive-franchise band
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 LA Crawfish units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$639K
on $3.2M purchase
Total debt
$2.6M
SBA $1.6M + senior + seller note
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: 2024 FDD
Financial Performance
- Avg gross sales
- $799K
- Per unit, per year
- Median gross sales
- $798K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross sales
- Sample size
- 16 outlets
- vs category median 18
- Reporting year
- 2023
- Fiscal year the figures cover
- Source filing
- FDD 2024
- Disclosed in the 2024 filing, covering 2023
- Transparency
- 4 / 10
- vs category median 3 / 10 · above
Compared against 805 Full-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $799K/year in gross sales. Revenue-to-investment ratio: 1.9x.
Fee burden
Total ongoing fee load of 7.0% (near the Full-Service Restaurants average).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System contracting at -22.7% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Full-Service Restaurants averages
How LA Crawfish Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 18
- Opened
- 0
- Last reporting year
- Closed
- 2
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 11.1%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 94%
- vs corporate-owned
- Net growth (3-yr)
- -10.5%
- Net unit change over 3 years
- 3-yr CAGR
- -22.7%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 1
- Transfer rate
- 5.9%
- Owners selling to other franchisees
- Continuity rate
- 89.5%
- Units that stayed open
- Termination rate
- 11.8%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $1.0M
- Median loan
- $518K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (2 loans) — rate not shown below 10
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
- 2
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Declining franchise system with hidden profitability metrics, active litigation history, and unit attrition risk outweigh the attractive $798k average revenue figure.
Litigation (Item 3)
Case 1 (2019-18558): 2SuceedInvestments, LLC v. LAC Franchising, LLC & Minson Ngo filed March 13, 2019 in Harris County District Court. Plaintiffs alleged improper use of System Ad Fund and self-dealing; sought declaratory judgment on unauthorized vendors. LAC filed counterclaims for breach of contract, royalty violations, unauthorized vendors/products, unauthorized POS systems, non-compete violations, misrepresentation, and trade secret misappropriation. October 31, 2021 partial summary judgment granted in LAC's favor. Counterclaims proceeded to trial June 5, 2023 with court ruling in LAC's favor; judgment collection pending. Case 2 (2019-26235): 3XL Crawfish, LLC v. LAC Franchising, LLC, Minson Ngo, Luc Hoang, Boyd's Seafood Inc., Jason Cogburn filed April 12, 2019 in Harris County District Court. Plaintiff (former vendor co-owned by Minson Ngo until March 2019) alleged unlawful interference and breach of contract. Case resolved via court-ordered mediation with LAC Franchising and Minson Ngo paying 3XL $20,000; case dismissed with prejudice, no admission of fault.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · David P. Chaney, CPA, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 33 / 100 verdict
- 01MINORUnit count declining 10.5% YoY (18 units) indicates system contraction and potential franchisee dissatisfaction
- 02MEDNet Income not disclosed in Item 19 prevents ROI validation; $346k-$503.5k investment requires clear profitability proof
- 03HIGHTwo litigation cases show franchisor-franchisee disputes over vendor control and advertising fund management, suggesting operational friction
- 04MED6% royalty on $798k avg revenue = ~$48k annual royalty with undisclosed overhead and actual net margins unknown
- 05MINOR10-year term locks franchisees into potentially underperforming concept without clear exit strategy given declining unit trend
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · 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 | Geographic |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 2 |
View Item 3 litigation summary
Case 1 (2019-18558): 2SuceedInvestments, LLC v. LAC Franchising, LLC & Minson Ngo filed March 13, 2019 in Harris County District Court. Plaintiffs alleged improper use of System Ad Fund and self-dealing; sought declaratory judgment on unauthorized vendors. LAC filed counterclaims for breach of contract, royalty violations, unauthorized vendors/products, unauthorized POS systems, non-compete violations, misrepresentation, and trade secret misappropriation. October 31, 2021 partial summary judgment granted in LAC's favor. Counterclaims proceeded to trial June 5, 2023 with court ruling in LAC's favor; judgment collection pending. Case 2 (2019-26235): 3XL Crawfish, LLC v. LAC Franchising, LLC, Minson Ngo, Luc Hoang, Boyd's Seafood Inc., Jason Cogburn filed April 12, 2019 in Harris County District Court. Plaintiff (former vendor co-owned by Minson Ngo until March 2019) alleged unlawful interference and breach of contract. Case resolved via court-ordered mediation with LAC Franchising and Minson Ngo paying 3XL $20,000; case dismissed with prejudice, no admission of fault.
Items 10, 11
Training & Operations
- Classroom training
- 42 hrs
- On-the-job training
- 96 hrs
- Training location
- On-site and off-site
- POS system
- EPOSNOW Software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: EPOSNOW Software
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a LA Crawfish franchise?
The total investment to open a LA Crawfish franchise ranges from $346K – $504K, 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 LA Crawfish franchise owners earn?
According to Item 19 of the LA Crawfish FDD, the average gross sales per unit is $799K. The median is $798K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the LA Crawfish 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 LA Crawfish FDD and qualifies whose outlets they describe.
What is LA Crawfish's franchise failure rate?
SBA 7(a) loan charge-off data is not available for LA Crawfish (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 LA Crawfish franchise locations are there?
As of their most recent FDD filing, LA Crawfish has 18 total units in the United States, including 17 franchised units and 1 company-owned units.
Is LA Crawfish a good franchise to buy?
FranchiseVerdict rates LA Crawfish as a D-grade franchise with a verdict score of 33 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.