FranchiseVerdict
Mason’s Famous Lobster Rolls logo
FV-01579·STRONGExcellent95

Mason’s Famous Lobster Rolls

Food & Beverage - Full ServiceFranchising since 2016Website
Investment
$241K – $629K
25th pct Full Service
Avg revenue
$848K
13th pct Full Service
Royalty
5.0%
15th pct Full Service
Units
27
61st pct Full Service
SBA default

Bottom line

  • Total investment $241K – $629K including a $35K franchise fee, 5.0% ongoing royalty.
  • Average unit revenue of $848K/year (median $821K). Estimated payback in 4.0 years.
  • Rated STRONG with a risk score of 40/100.
  • System growing at 127.3% CAGR over 3 years with 27 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Mason’s Lobster Franchising LLC
Incorporated in
Delaware
HQ
77 Franklin Street, Annapolis, Maryland 21401
Auditor
ClarkHirth
Audited financials
Franchisor revenue
$1.1M
vs $1.4M prior 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 Mason’s Famous Lobster Rolls unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $847,577
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: $241K–$629K
Working capital
$
FDD reports $5K–$20K

Unlevered ROIC · per unit

32%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$144K
EBITDA margin
17.0%
Total invested
$448K
Payback
37 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.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Mason’s Famous Lobster Rolls units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$1.7M

on $8.5M purchase

Total debt

$6.8M

SBA $4.2M + senior + seller note

Overview

About

Franchisees operate casual fast-casual seafood restaurants specializing in lobster rolls and regional New England fare. Day-to-day operations include food sourcing, labor management, customer service, and compliance with franchisor standards for menu and branding. Most locations are counter-service or quick-casual formats with limited table service.

CEO
Daniel Beck
Founded
2015
FDD year
2024
States available
12

Item 7 · what it costs

The Vitals

Total investment
$241K – $629K
All-in to open one unit
Liquid capital
$5K – $20K
Cash you must have on hand
Franchise fee
$35K
Royalty
5.0%
Gross Sales · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
6.0%
vs 9–13% typical
Payback period
4.0 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$848K
Per unit, per year
Median gross sales
$821K
Item 19 type
Actual Sales
Sample size
20 units
vs category median 15
Range (low → high)
$417K$1.5M
Cohort dispersion
Transparency
10 / 5
vs category median 4 / 5 · above
Revenue rank13th
vs Food & Beverage - Full Service peers
Investment cost rank25th
Lower investment ranks lower (better)
Royalty rate rank15th
Lower royalty = lower percentile (better)
Unit count rank61th
vs Food & Beverage - Full Service peers
Risk score rank2th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
27
Opened
5
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
2
Corporate units in the system
% franchised
93%
vs corporate-owned
Net growth (yr3)
+25.0%
Net unit change last year
3-yr CAGR
+127.3%
Compounded over last 3 years
2022
25+5
Franchised units
2023
20
Franchised units
2024
11
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

40
Risk · 0-100
STRONG40 / 100

Moderate-to-caution risk profile: aggressive growth, undisclosed financial performance data, and high investment relative to earnings warrant deep validation before signing.

Score breakdown · what drove the 40 / 100 rating

  1. 01MEDNo Item 19 (Financial Performance Representations) disclosed — cannot independently verify the $847,577 average revenue or $107,512 net income claims
  2. 02MEDHigh initial investment range ($241K-$629K) relative to disclosed net income ($107K) creates 2.3-5.9 year payback horizon with execution risk
  3. 03MINORRapid unit growth (25% YoY) may indicate aggressive franchising outpacing operational support maturity
  4. 04MINOR5% royalty on gross sales with no Item 19 makes it difficult to assess true unit profitability and franchisor sustainability

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
5 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
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Delaware

Item 11

Training & Operations

Classroom training
17 hrs
On-the-job training
23 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.

Franchisee contacts

28 numbers

Locked
(704) 907-••••
NC
(651) 313-••••
MN
(443) 453-••••
MD

One-time purchase · CSV download · Validation questions included

FDD download

Mason’s Famous Lobster Rolls · FDD (2024) PDF

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