LaRosa’sFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A LaRosa’s franchise requires a total initial investment of $1.4M – $2.6M, including a $35K franchise fee and an ongoing 4.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $1.4M – $2.6M
- 98th pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- 4.0%
- 3rd pct Service Resta…
- Units
- 64
- 67th pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-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 1967. Systems this mature have refined operations and brand recognition.
Franchised units fell from 56 to 55 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $1.4M – $2.6M including a $35K franchise fee, 4.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 58/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- LAROSA’S, INC.
- Parent company
- LaRosa’s Holding Company
- Incorporated in
- OH
- HQ
- 2334 Boudinot Avenue, Cincinnati, Ohio 45238
- Franchisor revenue
- $52.2M
- Most recent fiscal year
Overview
About
LaRosa's franchisees operate regional pizza restaurants featuring a proprietary thin-crust pizza style and casual dining environment. Daily operations include food preparation, inventory management, customer service, and staff supervision across lunch and dinner service. Franchisees manage P&L, marketing at the local level, and compliance with brand standards while paying 4% of net sales in ongoing royalties.
- CEO
- Michael T. LaRosa
- Headquarters
- OH
- Founded
- 1954
- FDD year
- 2024
- States available
- 3
FDD Item 7 · 2024 filing · 8 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $25K | $25K | |
| Initial One Number Feenot refundable | $10K | $10K | |
| Training Expenses (travel & lodging) | $1K | $5K | |
| Real Property | $400K | $900K | |
| Equipment, fixtures, fixed assets, construction, remodeling & leasehold improvements | $750K | $1.5M | |
| Opening Inventory | $15K | $15K | |
| Additional funds (initial 3 months) | $100K | $100K | |
| Insurance | $30K | $40K | |
| Total initial investment | $1.3M | $2.6M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.4M – $2.6M
- Below avg, review vs category
- Liquid capital req'd
- $100K – $100K
- Below avg, review vs category
- Franchise fee
- $35K – $35K
- Near category avg vs category
- Royalty
- 4.0%
- Gross Sales · typical 6–8%
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 11.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 4.0% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Technology fee | $3 |
| Transfer fee | $1K |
| Renewal fee | $500 |
| Total fee load | 11.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How LaRosa’s Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 64
- Opened
- 2
- Last reporting year
- Closed
- 3
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 4.7%
- Company-owned
- 9
- Corporate units in the system
- % franchised
- 86%
- vs corporate-owned
- Net growth (yr3)
- -3.5%
- Net unit change last year
- 3-yr CAGR
- -1.8%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 4
- Projected new
- 0
- Franchisor's next-year forecast
- Transfer rate
- 6.3%
- Owners selling to other franchisees
- Ceased ops
- 4.7%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 3 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.
3
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 7 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 7
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
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
- 0
- Defaults
- 0
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
LaRosa's presents meaningful caution due to shrinking unit count, lack of financial transparency (no Item 19), high capital requirements, and weak system scale—suitable only for investors who can independently validate unit economics with current franchisees.
Litigation (Item 3)
No litigation currently required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes
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
- Can negotiate own supplier terms: No
Score breakdown · what drove the 58 / 100 rating
- 01MINORUnit count declining 3.5% YoY indicates system contraction and potential market saturation or franchisee dissatisfaction
- 02MINORNo Item 19 (average revenue/net income) disclosure prevents ROI validation and suggests financials may not support the $1.4M–$2.6M investment range
- 03MEDHigh initial investment ($1.4M–$2.6M) combined with 4% royalty and undisclosed profitability creates significant downside risk without transparency
- 04MED64-unit system is relatively small; limited scale creates operational vulnerability and reduces support infrastructure compared to larger franchisors
- 05MINOR10-year term is longer than industry standard (5–7 years typical), locking franchisees into unfavorable renewal negotiations
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 |
| Territory type | Geographical Area |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Governing law | Ohio |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation currently required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 128 hrs
- On-the-job training
- 552 hrs
- Training location
- Greater Cincinnati
- Ongoing training
- Required
- Field support
- 280 hrs/yr
- On-site visits per year
- POS system
- PartnerTech / pointofsale.cloud
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: PartnerTech / pointofsale.cloud
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a LaRosa’s franchise?
The total investment to open a LaRosa’s franchise ranges from $1.4M – $2.6M, 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 LaRosa’s franchise owners earn?
LaRosa’s 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 LaRosa’s's franchise failure rate?
SBA 7(a) loan charge-off data is not available for LaRosa’s (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 LaRosa’s franchise locations are there?
As of their most recent FDD filing, LaRosa’s has 64 total units in the United States, including 56 franchised units and 9 company-owned units. 2 new units were opened in the latest reporting year.
Is LaRosa’s a good franchise to buy?
FranchiseVerdict rates LaRosa’s as a B-grade franchise with a risk score of 58 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.