Lime House Sushi & Ramen
Bottom line
- Total investment $348K – $782K including a $35K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $855K/year (median $855K). Estimated payback in 2.3 years.
- Rated STRONG with a risk score of 53/100.
- 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 Lime House Sushi & Ramen unit return on the cash you put in?
Unlevered ROIC · per unit
23%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Lime House Sushi & Ramen units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.7M
on $8.5M purchase
Total debt
$6.8M
SBA $4.3M + senior + seller note
Overview
About
Franchisees operate quick-service Asian fusion restaurants specializing in sushi and ramen, managing food preparation, inventory, POS systems, and customer service in compact footprints. Daily operations include sourcing fresh ingredients, managing labor, maintaining health/safety compliance, and executing brand standards across menu offerings and customer experience.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
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)
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
Early-stage franchise with unproven multi-unit viability, undisclosed financial documentation, and insufficient comparable franchisee data for validation.
Score breakdown · what drove the 53 / 100 rating
- 01MINOROnly 1 unit in system with unknown growth trajectory — insufficient data to validate concept scalability or franchisee success patterns
- 02MINORWide investment range ($348K-$781K) suggests unclear cost structure or highly variable location economics
- 03MEDNo Item 19 financial performance representations disclosed — cannot independently verify claimed $854K revenue and $249K net income figures
- 04MINORSingle unit makes it impossible to assess system health, franchisee satisfaction, or unit economics consistency
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.
FDD download
Lime House Sushi & Ramen · FDD (2025) PDF