FranchiseVerdict
Makenna Koffee logo
FV-01560·CAUTIONExcellent81

Makenna Koffee

Food & Beverage - Coffee & TeaFranchising since 2024Website
Investment
$441K – $1.2M
71st pct Coffee & Tea
Avg revenue
49th pct Coffee & Tea
Royalty
6.0%
50th pct Coffee & Tea
Units
2
17th pct Coffee & Tea
SBA default

Bottom line

  • Total investment $441K – $1.2M including a $35K franchise fee, 6.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 72/100.
  • 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
Makenna Koffee Franchise, LLC
Incorporated in
California
HQ
153 Cochran Street #310, Simi Valley, California 93065
Auditor
DNJ & ASSOCIATES
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 Makenna Koffee 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: restaurant
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $441K–$1.2M
Working capital
$
FDD reports $40K–$60K

Unlevered ROIC · per unit

10%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$86K
EBITDA margin
11.5%
Total invested
$867K
Payback
121 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

Makenna Koffee franchisees operate specialty coffee retail locations, likely including espresso-based beverages, light food offerings, and branded merchandise. Day-to-day operations involve inventory management, customer service, staff scheduling, and point-of-sale transactions, with ongoing brand standard compliance and royalty reporting to the franchisor.

CEO
Lance Clauson
Founded
2024
FDD year
2025
States available
1

Item 7 · what it costs

The Vitals

Total investment
$441K – $1.2M
All-in to open one unit
Liquid capital
$40K – $60K
Cash you must have on hand
Franchise fee
$35K
Royalty
6.0%
Percentage of Gross Sales · typical 6–8%
Ad fund
0.5%
typical 3–5%
Total fee load
6.5%
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
2
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
2
Corporate units in the system
% franchised
0%
vs corporate-owned
Multi-unit owners
1.0%
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.

Item 20 · 15 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 15 states
Not registered

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.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

72
Risk · 0-100
CAUTION72 / 100

Makenna Koffee presents HIGH RISK due to a 2-unit system with Going Concern issues, zero financial transparency (no Item 19), and insufficient franchisee base to validate unit economics.

Score breakdown · what drove the 72 / 100 rating

  1. 01MEDOnly 2 units in entire system indicates nascent/stalled growth with no disclosed unit growth trajectory
  2. 02HIGHGoing Concern = False signals potential financial instability or corporate viability issues
  3. 03MINORNo Item 19 (average revenue/net income) disclosure prevents ROI validation and suggests franchisor cannot demonstrate unit profitability
  4. 04MINORWide investment range ($441K-$1.192M) with no clarity on what drives cost variance or expected returns at each tier
  5. 05MED6% royalty on undisclosed sales figures makes it impossible to calculate actual break-even timeline or profit margins
  6. 06MINORExtremely small franchisee base (2 units) eliminates meaningful peer validation and suggests difficulty recruiting/retaining franchisees
  7. 07HIGHNo disclosed litigation but Going Concern status suggests potential underlying legal or financial disputes

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
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
California

Item 11

Training & Operations

Classroom training
76 hrs
On-the-job training
82 hrs
POS system
Square
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.

Franchisee contacts

16 numbers

Locked
(805) 422-••••
The franchisor is Makenna Koffee Franchise, LLC, located at
CA
(410) 576-••••
MD
(608) 266-••••
WI

One-time purchase · CSV download · Validation questions included

FDD download

Makenna Koffee · FDD (2025) PDF

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