Little Caesars Franchise Cost, Revenue & Review 2026
- Investment
- $377K – $1.8M
- Disclosed sales
- not disclosed
- SBA charge-off
- 8.0%
- on 163 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Little Caesars is a quick-service pizza franchise known for low-price, ready-to-go Hot-N-Ready pizzas and Crazy Bread. Franchisees run high-volume carryout-and-delivery stores managing dough prep, food costs, and staffing.
FranchiseVerdict summary · 2026
A Little Caesars franchise requires a total initial investment of $377K – $1.8M, including a $20K franchise fee and an ongoing 6.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 8.0% charge-off rate across 163 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 5 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $377K – $1.8M
- 61st pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 48th pct Service Resta…
- Units
- 4,374
- 96th pct Service Resta…
- SBA charge-off
- 8.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · 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 $377K – $1.8M including a $20K franchise fee, 6.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict B (Above average), verdict score 69/100 (higher is better). SBA loan charge-off rate of 8.0% across 163 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +87 franchised outlets in the latest year (109 opened, 22 closed); 43 signed but not yet open (Item 20).
- LEGAL11 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Little Caesar Enterprises, Inc.
- CEO title
- President and Chief Executive Officer, Global Services
- Edward Gleich
- CEO experience
- 2023 yrs
- Years in role or industry
- Incorporated in
- MI
- HQ
- 2125 Woodward Avenue, Detroit, Michigan 48201-3400
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
- CEO
- Edward Gleich
- Headquarters
- MI
- Founded
- 1959
- FDD year
- 2026
- States available
- 54
Can you afford it, and what does the money buy?
Entry cost runs 121% above the typical quick-service restaurants franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $20K | $20K |
| Working capital (3–6 mo) | $17K | $47K |
| Equipment, build-out, other | $340K | $1.7M |
| Total initial investment | $377K | $1.8M |
Source: Little Caesars 2026 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
- $377K – $1.8M
- Middle of category vs category
- Liquid capital req'd
- $17K – $47K
- Top 40% of category vs category
- Franchise fee
- $20K – $20K
- Top 40% of category vs category
- Royalty
- 6.0%
- Set by a formula · typical 6–8%
- Ad fund
- 7.0%
- typical 3–5%
- Total fee load
- 13.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 7.0% of gross sales |
| Technology fee | $3K |
| Training fee | $12K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $7K – $9K |
| Total fee load | 13.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Little Caesars makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Little Caesars unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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: 2026 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 13.0% — above the Quick-Service Restaurants median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System roughly stable (+4.0% 3-year CAGR) with 4,374 units.
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 medians
How Little Caesars Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 4,374
- Opened
- 109
- Last reporting year
- Closed
- 22
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.5%
- Company-owned
- 586
- Corporate units in the system
- % franchised
- 87%
- vs corporate-owned
- Net growth (3-yr)
- +4.0%
- Net unit change over 3 years
- 3-yr CAGR
- +4.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 239
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 43
- 0.01 per open outlet · Item 20 Table 5
- Projected new
- 108
- Franchisor's next-year forecast
- Transfer rate
- 53.9%
- Owners selling to other franchisees
- Ceased ops
- 12.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 54 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.
54
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
- 163
- Loan volume
- $119.6M
- Median loan
- $499K
- 50th percentile
- Charge-off rate
- 8.0%
- on 163 loans · 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)
- 92.0%
- 5-yr charge-off
- 6.7%
- Loans approved 2021+
- Active lenders
- 77
- Defaults
- 6
- Typical loan rate
- 7.1%
- avg rate to borrowers
- Franchised industry avg
- 10.8%
- brand beats franchise avg ↓
- Jobs supported
- 5,732
- 4.8 per loan
- Lender concentration
- 6%
- top lender's share
Borrower mix: 34% went to startups / new businesses, 66% to established operators
Franchise vs independent — in limited-service restaurants, franchised businesses charge off at 10.8% vs 10.0% for independents — franchising is associated with 8% higher SBA default risk in this category.
Vintage analysis
Little Caesars charge-off rate by loan vintage
Top lenders financing Little Caesars franchisees
Showing 3 of 77 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.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Little Caesars from SBA 7(a) FOIA data.
- Principal loss rate
- 1.2%
- Avg SBA guarantee
- 74%
- Avg interest rate
- 7.09%
- Avg chargeoff amount
- $233K
- Lender concentration
- 6.1%
- Job velocity
- 4.8 per $100K
- Startup risk premium
- +2.5pp
- NAICS benchmark
- 8.7%
- NAICS 722513
- Jobs supported
- 5,732
Top SBA lendersTop lender holds 6% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Live Oak Banking Company | 10 | $12.1M | 0.0% |
| 2 | The Huntington National Bank | 9 | $3.5M | 0.0% |
| 3 | Western State Bank | 9 | $8.6M | 0.0% |
| 4 | Stearns Bank National Association | 6 | $2.2M | 0.0% |
| 5 | Wells Fargo Bank National Association | 5 | $2.6M | 0.0% |
| 6 | Banc of California | 5 | $5.2M | 0.0% |
| 7 | TD Bank, National Association | 5 | $3.9M | 0.0% |
| 8 | ChoiceOne Bank | 5 | $3.1M | 0.0% |
| 9 | Meridian Bank | 4 | $1.6M | 0.0% |
| 10 | U.S. Bank, National Association | 4 | $2.2M | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| MIMichigan | 20 | 0 | 0.0% |
| FLFlorida | 11 | 0 | 0.0% |
| INIndiana | 11 | 0 | 0.0% |
| OHOhio | 11 | 0 | 0.0% |
| IAIowa | 9 | 0 | 0.0% |
| CACalifornia | 8 | 0 | 0.0% |
| TXTexas | 8 | 0 | 0.0% |
| MOMissouri | 6 | 1 | 33.3% |
| GAGeorgia | 5 | 0 | 0.0% |
| ILIllinois | 5 | 0 | 0.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
What could kill this investment?
SBA loans charge off at 8.0% — 50% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Little Caesars presents moderate-to-cautious risk: stagnant unit growth, significant litigation history, undisclosed financials, and an enforcement-oriented franchisor relationship warrant deep validation with current franchisees before investment.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
7 completed actions including breach of contract, franchise enforcement/termination, antitrust, and arbitration matters; 4 recent franchisee enforcement actions in 2025 fiscal year including ROFR enforcement and promissory note collection
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21 contains no franchisor financial statements; only the audited statements of the affiliate guarantor LC Trademarks, Inc. (a wholly owned subsidiary) are included as Exhibit J. LC Trademarks reported no operations or cash flows for FY 2025/2024/2023; its only asset is Due from Parent of $5,010,900, fully offset by contributed capital (shareholder's equity).
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 69 / 100 verdict
- 01HIGHHigh litigation history including breach of contract, fraud in inducement, and anti-poaching settlement suggests adversarial franchisor-franchisee relationships
- 02MINORMinimal unit growth (2.4% YoY) on mature system of 4,374 units indicates market saturation and difficulty in recruiting/retaining franchisees
- 03MEDNo Item 19 financial disclosure (Avg Revenue and Net Income not disclosed) prevents verification of profitability claims and return on investment
- 04MINORWide investment range ($376,500–$1,769,200) suggests high variability in startup costs and unclear path to ROI
- 05MINORHybrid royalty structure (greater of 6% or $300/week) creates floor burden on low-revenue locations, with minimum annual royalty ~$15,600
- 06MINORFranchisor appears litigious against franchisees—multiple cases initiated to enforce terminations and exercise contractual rights, indicating enforcement-heavy management style
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 13.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · 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 | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | MI |
| Litigation count | 11 |
View Item 3 litigation summary
7 completed actions including breach of contract, franchise enforcement/termination, antitrust, and arbitration matters; 4 recent franchisee enforcement actions in 2025 fiscal year including ROFR enforcement and promissory note collection
Items 10, 11
Training & Operations
- Classroom training
- 64 hrs
- On-the-job training
- 250 hrs
- Training location
- Detroit Metro, LA Metro and surrounding areas; Business Training Week at Detroit Global Resource Center
- Ongoing training
- Required
- Time to open
- 9 mo
- From signing to launch
- Site selection
- Franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Caesar Vision
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Caesar Vision
Item 20 · call current owners
Franchisee Contacts
263 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Little Caesars franchise?
The total investment to open a Little Caesars franchise ranges from $377K – $1.8M, with an initial franchise fee of $20K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Little Caesars franchise owners earn?
Little Caesars makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Little Caesars?
Little Caesars is franchised by Little Caesar Enterprises, Inc.. The FDD names no parent company. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Little Caesars 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 Little Caesars FDD and qualifies whose outlets they describe.
What is Little Caesars's franchise failure rate?
Based on SBA 7(a) loan data, Little Caesars has a charge-off rate of 8.0% across 163 loans, meaning 8.0% 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 Little Caesars franchise locations are there?
As of their most recent FDD filing, Little Caesars has 4,374 total units in the United States, including 3,788 franchised units and 586 company-owned units. 109 new units were opened in the latest reporting year.
Is Little Caesars a good franchise to buy?
FranchiseVerdict rates Little Caesars as a B-grade franchise with a verdict score of 69 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.