Bottom line
- Total investment $67K – $92K including a $30K franchise fee, 9.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 65/100. SBA loan default rate of 0.0% across 2 loans (below the industry average).
- 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
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 Locals Love Us unit return on the cash you put in?
Unlevered ROIC · per unit
101%
Above typical band (30–60%)
Overview
About
Locals Love Us appears to be a community-based service or marketing platform (likely local SEO, reputation management, or hyperlocal marketing services) where franchisees develop relationships with local small businesses. Day-to-day operations likely involve client acquisition, service delivery/management, customer success, and monthly revenue collection to support the 9% royalty obligation.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 6 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Micro-franchise with non-disclosed financials, going concern status, and minimal unit base presents meaningful profitability and sustainability risk.
Score breakdown · what drove the 65 / 100 rating
- 01HIGHGoing Concern status is FALSE — indicates potential financial instability or undisclosed operational challenges
- 02MEDNo Item 19 (Average Unit Volume) disclosed — impossible to assess ROI or validate the $66,750–$91,833 investment thesis
- 03MINOROnly 12 units systemwide with unknown growth trajectory — micro-franchise with no visibility into expansion momentum
- 04MED9% royalty on undisclosed revenues — cannot determine cash flow impact or breakeven timeline
- 05MINOR$29,500 franchise fee with $66,750–$91,833 total investment suggests significant ongoing costs (equipment, working capital, or initial inventory) that are not itemized
- 06MINOR5-year term is relatively short — increases renewal risk and limits long-term relationship visibility
- 07HIGHNo litigation disclosed but Going Concern issue suggests reputational or operational risk not yet reflected in lawsuits
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.
Franchisee contacts
10 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Locals Love Us · FDD (2024) PDF