FranchiseVerdict
LYTEbite logo
FV-01531·CAUTIONStandard67Pre-opening

LYTEbite

Food & Beverage - Full ServiceFranchising since 2025Website
Investment
$293K – $500K
34th pct Full Service
Avg revenue
57th pct Full Service
Royalty
5.0%
15th pct Full Service
Units
0
0th pct Full Service
SBA default

Bottom line

  • Total investment $293K – $500K including a $20K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 75/100.
  • 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

Legal entity
LYTEbite, LLC
Incorporated in
Arizona
HQ
890 N. 54th St., Suite A-2, Chandler, AZ, 85226
Auditor
CliftonLarsonAllen LLP
Audited financials
Franchisor revenue
$0
Most recent fiscal year

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 LYTEbite unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $293K–$500K
Working capital
$
FDD reports $120K–$160K

Unlevered ROIC · per unit

24%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$128K
EBITDA margin
17.0%
Total invested
$537K
Payback
51 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

LYTEbite franchisees operate fast-casual food/beverage locations (appears to be health-focused or tech-enabled dining based on brand name). Day-to-day operations likely involve point-of-sale management, food preparation/ordering, staff scheduling, inventory management, and customer service in a standalone or co-branded location.

CEO
Ryan Sipp
Founded
2024
FDD year
2025
States available
0

Item 7 · what it costs

The Vitals

Total investment
$293K – $500K
All-in to open one unit
Liquid capital
$120K – $160K
Cash you must have on hand
Franchise fee
$20K
Royalty
5.0%
percentage of gross revenues · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
6.0%
vs 9–13% typical

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

Total units
0
Opened
0
Last reporting year
Closed
0
Company-owned
0
Corporate units in the system
2023
0±0
Franchised units
2024
0
Franchised units
2025
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

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

75
Risk · 0-100
CAUTION75 / 100

LYTEbite presents HIGH RISK due to zero operating franchises, going concern status, missing financial disclosures, and unproven unit economics despite requiring $293k–$500k investment.

Score breakdown · what drove the 75 / 100 rating

  1. 01MINORZero existing franchise units despite established brand — indicates system failure or pre-launch status
  2. 02HIGHGoing concern warning is present — franchisor may face financial viability issues
  3. 03MINORNo average revenue or net income disclosure (Item 19) — impossible to validate ROI claims
  4. 04MINORHigh investment range ($293k-$500k) with no performance benchmarks creates significant downside risk
  5. 05MINORUnknown unit growth trajectory — cannot assess market traction or franchisee success rates
  6. 06MED5% royalty on undisclosed revenues — franchisees cannot project actual take-home profitability
  7. 07HIGHNo disclosed litigation but going concern flag suggests underlying operational distress

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
California

Item 11

Training & Operations

Classroom training
8 hrs
On-the-job training
32 hrs
POS system
Toast
Operating tech stack

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.

No franchisee contacts available for LYTEbite. This brand's FDD Item 20 did not include a contactable franchisee list.

FDD download

LYTEbite · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above