MHO Hotels
Formerly known as Meals of Hope
Bottom line
- Total investment $72K – $1.2M including a $10K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 75/100. SBA loan default rate of 0.0% across 4 loans (below the industry average).
- 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
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 MHO Hotels unit return on the cash you put in?
Unlevered ROIC · per unit
8%
Below typical band (30–60%)
Overview
About
MHO Hotels franchisees operate and manage hotel properties under the MHO brand, handling daily operations including front desk/housekeeping, guest services, and revenue management. Franchisees are responsible for capex (renovation/maintenance), staffing, marketing, and guest experience while remitting royalties based on room inventory or occupancy.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 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).
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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
MHO Hotels presents HIGH RISK due to a 4-unit system with no growth trajectory, missing financial disclosures, false going concern status, unprotected territory, and inadequate royalty/fee transparency—typical of early-stage or distressed franchise systems.
Score breakdown · what drove the 75 / 100 rating
- 01MINOROnly 4 units in system with unknown/likely stagnant growth indicates minimal market traction and unproven model scalability
- 02MINORNo average revenue or net income disclosure (no Item 19) prevents validation of ROI claims and profitability assumptions
- 03HIGHGoing Concern status is FALSE, suggesting potential financial instability at corporate level and franchise support risk
- 04MINORNo protected territory creates direct competition risk between franchisees and leaves door open for brand saturation
- 05MINORWide investment range ($71.6K–$1.2M) indicates inconsistent cost structure and unclear capex requirements
- 06MINORDual royalty options without guidance on which is standard/recommended suggests lack of transparent pricing strategy
- 07MINORExtremely low franchise fee ($9,995) relative to hotel capex may indicate weak corporate infrastructure and minimal franchisor support
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
13 numbers
One-time purchase · CSV download · Validation questions included
FDD download
MHO Hotels · FDD (2025) PDF