Little CaesarsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Little Caesars franchise requires a total initial investment of $377K – $1.8M, including a $20K franchise fee. The 2026 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 8.0% charge-off rate across 163 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $377K – $1.8M
- 70th pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- N/A
- Units
- 4,374
- 98th pct Service Resta…
- SBA default
- 8.0%
- system-wide median varies by category
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 1962. Systems this mature have refined operations and brand recognition.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
11 legal cases disclosed in the FDD. Read Item 3 before signing.
Large franchise systems benefit from brand recognition, supply chain leverage, and proven operations.
Bottom line
- Total investment $377K – $1.8M including a $20K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict A (Top Quintile) with a risk score of 35/100. 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, 2010–2024).
- Auditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Little Caesar Enterprises, Inc.
- Parent company
- none
- CEO title
- Chief Executive Officer
- 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
- ⚠ Going-concern note
- Disclosed in FDD 2026
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Overview
About
Little Caesars franchisees operate quick-service pizza restaurants, managing dough preparation, ingredient sourcing, food assembly, and customer service in a fast-casual environment. Day-to-day operations include staffing and scheduling, inventory management, food cost control, delivery logistics (for "Carryout-Delivery" model), and marketing to drive volume in a competitive pizza category. Franchisees must maintain brand standards, manage local labor costs, and execute corporate promotions while competing with national chains and local independent pizzerias.
- CEO
- Edward Gleich
- Headquarters
- MI
- Founded
- 1962
- FDD year
- 2026
- States available
- 54
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
- Below avg, review vs category
- Liquid capital req'd
- $17K – $47K
- Near category avg vs category
- Franchise fee
- $20K
- Better than avg vs category
- Royalty
- the greater of 6% of Gross Sales for each one-week period…
- Ad fund
- 7.0%
- typical 3–5%
- Total fee load
- 13.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | greater of 6% of Gross Sales or $300 per week |
| Marketing / ad fund | 7.0% of gross sales |
| Technology fee | $3K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $63K – $154K |
| Total fee load | 13.0% 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 Little Caesars Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 4,374
- Opened
- 109
- Last reporting year
- Closed
- 22
- Turnover rate
- 0.5%
- Company-owned
- 586
- Corporate units in the system
- % franchised
- 87%
- vs corporate-owned
- Net growth (yr3)
- +2.4%
- Net unit change last year
- 3-yr CAGR
- +4.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 6
- Closed (3yr)
- 71
- Terminated (3yr)
- 316
- Non-renewed (3yr)
- 2,025
- Transfers (3yr)
- 239
- Reacquired (3yr)
- 239
- Franchisor bought back
- Transfer rate
- 53.9%
- Owners selling to other franchisees
- Ceased ops
- 12.1%
- Units that stopped operating
Last reporting year only, multi-year history not disclosed in this brand's FDD.
Item 20 · 14 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
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%
- 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
Vintage analysis
Little Caesars charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Little Caesars's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 12-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
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)
8 case reference(s): 0 pending, 6 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP⚠ Going-concern note flagged
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
Score breakdown · what drove the 35 / 100 rating
- 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
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 | Radius |
| Protected territory | Yes |
| Territory radius | 1 mi |
| 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 |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Michigan |
| Litigation count | 11 |
View Item 3 litigation summary
8 case reference(s): 0 pending, 6 settled.
Items 10, 11
Training & Operations
- Classroom training
- 64 hrs
- On-the-job training
- 250 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Site selection
- joint
- Franchisor financing
- 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
99 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Little Caesars · FDD (2026) PDF
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 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 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 574 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 A-grade franchise with a risk score of 35 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.
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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.