MELTwich Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
MELTwich is a fast-casual franchise serving specialty grilled cheese sandwiches, poutine, and comfort food. Franchisees run the restaurants, managing food prep, staffing, and counter service.
FranchiseVerdict summary · 2026
A MELTwich franchise requires a total initial investment of $264K – $523K, including a $30K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: F (Weakest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $264K – $523K
- 41st pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 46th pct Service Resta…
- Units
- 3
- 15th 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 $264K – $523K including a $30K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 19 discloses no financial performance representations; franchisor states it makes no representations about franchisee financial performance.
- RISKVerdict F (Weakest tier), verdict score 21/100 (higher is better).
- FLAGAuditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Meltwich USA, Inc.
- Parent company
- 1000286511 Ontario, Inc.
- Predecessor
- MELTwich America, Inc.
- Prior franchisor entity
- CEO title
- Director & Chief Executive Officer
- Barbara Kiss
- Incorporated in
- Delaware
- HQ
- 2200 NE 26th Street, Unit C, Fort Lauderdale, Florida 33305
- Auditor
- 1Source Assurance
- Audited financials
- Franchisor revenue
- $67K
- vs $117K prior year
- ⚠ Going-concern note
- Disclosed in FDD 2024
- Status as of 2024; may have been resolved in a later filing we don't yet have.
Overview
About
- CEO
- Barbara Kiss
- Headquarters
- Florida
- Founded
- 2022
- FDD year
- 2024
- States available
- 3
Can you afford it, and what does the money buy?
Entry cost runs 40% below the typical quick-service restaurants franchise.
Source: FDD 2024 · Items 5–7
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $10K | $30K |
| Equipment, build-out, other | $224K | $463K |
| Total initial investment | $264K | $523K |
Source: MELTwich 2024 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $264K – $523K
- Middle of category vs category
- Liquid capital req'd
- $10K – $30K
- Top 40% of category vs category
- Franchise fee
- $30K – $30K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $135 |
| Transfer fee | $10K |
| Renewal fee | $15K |
| Inventory (initial) | $10K – $10K |
| Total fee load | 8.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
MELTwich 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 MELTwich unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
25%
Below 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: 2024 FDD
Financial Performance
Item 19 discloses no financial performance representations; franchisor states it makes no representations about franchisee financial performance.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% (near the Quick-Service Restaurants average).
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants averages
How MELTwich Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 3
- Last reporting year
- Closed
- 0
- Terminated
- 1
- 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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 3 states 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.
3
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $573K
- Median loan
- $286K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (2 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
The auditor flagged going-concern doubt (Item 21) — the single biggest risk here.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
MELTwich presents elevated risk due to lack of operating unit visibility, absent financial disclosures, prior litigation, unprotected territory, and franchisor going concern status—making ROI validation impossible before investment.
Litigation (Item 3)
Franchisor's affiliate Meltwich Hospitality Group Inc. initiated 3 breach-of-contract/royalty-recovery lawsuits against Ontario franchisees during the most recently ended fiscal year (Toronto/Brampton courts).
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · 1Source Assurance⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- 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 21 / 100 verdict
- 01MINORNo Item 19 financial performance data (average revenue/net income) prevents ROI validation
- 02HIGHPrior litigation (2015-2018) involving misrepresentation and disclosure violations indicates regulatory/compliance issues
- 03MINORUnprotected territory creates direct competition risk from other franchisees in same market
- 04MINORHigh initial investment range ($263.75K–$1.56M) with no transparent profitability benchmarks creates recoupment uncertainty
- 05HIGHGoing concern status suggests financial instability at franchisor level
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · 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 rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | 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 | 5 days |
| Mandatory arbitration | Yes |
| Arbitration location | Franchisor's headquarters |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 3 |
View Item 3 litigation summary
Franchisor's affiliate Meltwich Hospitality Group Inc. initiated 3 breach-of-contract/royalty-recovery lawsuits against Ontario franchisees during the most recently ended fiscal year (Toronto/Brampton courts).
Items 10, 11
Training & Operations
- Classroom training
- 21 hrs
- On-the-job training
- 48 hrs
- Training location
- Toronto, Ontario, Canada
- Ongoing training
- Required
- Time to open
- 7 mo
- From signing to launch
- Site selection
- franchisee, subject to franchisor approval
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
MELTwich · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a MELTwich franchise?
The total investment to open a MELTwich franchise ranges from $264K – $523K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do MELTwich franchise owners earn?
MELTwich 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 MELTwich 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 MELTwich FDD and qualifies whose outlets they describe.
What is MELTwich's franchise failure rate?
SBA 7(a) loan charge-off data is not available for MELTwich (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 MELTwich franchise locations are there?
As of their most recent FDD filing, MELTwich has 3 total units in the United States, including 3 franchised units and 0 company-owned units. 3 new units were opened in the latest reporting year.
Is MELTwich a good franchise to buy?
FranchiseVerdict rates MELTwich as a F-grade franchise with a verdict score of 21 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?
If you represent MELTwich, you can request corrections or provide updated information.
Other Quick-Service Restaurants franchises
Compare similar franchise opportunities in the Quick-Service Restaurants category
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.