Lukumades Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Lukumades is a dessert franchise serving Greek loukoumades, honey-drizzled fried dough puffs with toppings. Franchisees run the shops, managing production, staffing, and counter service.
FranchiseVerdict summary · 2026
A Lukumades franchise requires a total initial investment of $197K – $321K, including a $45K franchise fee. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $197K – $321K
- 23rd pct Service Resta…
- Avg gross sales
- N/A
- 1 outlet
- Royalty
- N/A
- Units
- 1
- 3rd pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants avg · 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 $197K – $321K including a $45K franchise fee.
- RETURNSThe provided page set (p186-p190) contains only back-matter exhibits of the Lukumades Franchise LLC Area Representative FDD (dated May 2, 2025): a Washington State Amendment signature page, Exhibit I State Effective Dates, and Exhibit J Receipts. No audited financial statements (balance sheet, income statement) or Independent Auditor's Report are present in these images, so no financial figures could be extracted.
- RISKVerdict D (Below average), verdict score 33/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- Lukumades Franchise LLC
- Parent company
- E & A Project Group
- Ultimate parent
- Lukumades Global FZCO
- CEO title
- Chief Executive Officer, Director, and Founder
- Exarchos Sourligkas
- CEO experience
- 2016 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- DE
- HQ
- Meydan Grandstand, 6th Floor, Meydan Road, Nad Al Sheba, Dubai, UAE
- Auditor
- Muhammad Zubairy, CPA PC
- Audited financials
- Franchisor revenue
- $8K
- vs $59K prior year
Overview
About
- CEO
- Exarchos Sourligkas
- Headquarters
- DE
- Founded
- 2022
- FDD year
- 2025
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 61% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown11 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Area Representative Feenot refundable | $75K | $375K | |
| Leasehold Improvements | $3K | $25K | |
| Lease Deposits | $500 | $5K | |
| Furniture, Fixtures and Equipment | $500 | $5K | |
| Computer, Software and Point of Sale System | $250 | $3K | |
| Insurance Deposits - Three Months | $1K | $3K | |
| Travel for Initial Training | $0 | $5K | |
| Professional Fees | $5K | $15K | |
| Business Licenses and Permits | $500 | $1K | |
| Printing, Stationery, and Office Supplies | $1K | $3K | |
| Additional Funds - Three Months | $10K | $35K | |
| Total initial investment | $96K | $474K |
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
- $197K – $321K
- Top 40% of category vs category
- Liquid capital req'd
- $10K – $35K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Bottom third — review vs category
- Royalty
- This is an Area Representative agreement; the AR pays no …
- Ad fund
- -n/d
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Technology fee | $250 |
| Training fee | $250 |
| Transfer fee | $20K |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Lukumades did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Lukumades unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
35%
Within the 30–60% "attractive franchise" band
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: 2025 FDD
Financial Performance
The provided page set (p186-p190) contains only back-matter exhibits of the Lukumades Franchise LLC Area Representative FDD (dated May 2, 2025): a Washington State Amendment signature page, Exhibit I State Effective Dates, and Exhibit J Receipts. No audited financial statements (balance sheet, income statement) or Independent Auditor's Report are present in these images, so no financial figures could be extracted.
vs Quick-Service Restaurants averages
How Lukumades Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 1
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 1
- Franchisor's next-year forecast
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)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Much Culture SDN BHD v. Lukumades Franchising Pty. Ltd., JA-22NCC58-12/2022, High Court of Malaya at Johor Bahru, Malaysia. Plaintiff alleges franchisor entered into a franchise agreement without being registered to sell franchises in Malaysia; seeking $120,000 USD in damages. Case is ongoing.
Largest disclosed settlement: $120,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Muhammad Zubairy, CPA PC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- 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 33 / 100 verdict
- 01HIGHGoing concern status is FALSE — franchisor may be operationally or financially unstable
- 02MINORZero existing franchise units with unknown growth trajectory — no proven system or franchisee success stories
- 03MINOR50% royalty rate is extraordinarily high (industry standard 5-7%) — unsustainable profit model for franchisees
- 04HIGHActive litigation in Malaysia alleging unregistered franchise operation — regulatory compliance and legal exposure concerns
- 05MINOR10-year term locks franchisees into high-royalty agreement with unproven brand and no exit strategy
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Source: FDD 2025 · 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 |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 7 |
| Mandatory arbitration | Yes |
| Arbitration location | Kent County, Delaware |
| Jury trial waiver | Yes |
| Governing law | DE |
| Litigation count | 1 |
View Item 3 litigation summary
Much Culture SDN BHD v. Lukumades Franchising Pty. Ltd., JA-22NCC58-12/2022, High Court of Malaya at Johor Bahru, Malaysia. Plaintiff alleges franchisor entered into a franchise agreement without being registered to sell franchises in Malaysia; seeking $120,000 USD in damages. Case is ongoing.
Items 10, 11
Training & Operations
- Classroom training
- 6 hrs
- On-the-job training
- 400 hrs
- Training location
- Area Representative Business and/or certified training Restaurant designated by franchisor; online training workshop
- Ongoing training
- Required
- Time to open
- 9 mo
- From signing to launch
- Site selection
- Franchisee selects with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Revel
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revel
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Lukumades franchise?
The total investment to open a Lukumades franchise ranges from $197K – $321K, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Lukumades franchise owners earn?
Lukumades 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 Item 19 in the Lukumades 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 Lukumades FDD and qualifies whose outlets they describe.
What is Lukumades's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Lukumades (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 Lukumades franchise locations are there?
As of their most recent FDD filing, Lukumades has 1 total units in the United States, including 1 franchised units and 0 company-owned units. 1 new units were opened in the latest reporting year.
Is Lukumades a good franchise to buy?
FranchiseVerdict rates Lukumades as a D-grade franchise with a verdict score of 33 out of 100 (higher is better), 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
Are you the franchisor?
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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.