MochiholicFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Mochiholic franchise requires a total initial investment of $155K – $265K, including a $40K franchise fee and an ongoing 5.5% royalty[2]. Per the 2025 FDD, average unit revenue was $812K[2]. Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $155K – $265K
- 19th pct Service Resta…
- Avg gross sales
- $812K
- 26th pct Service Resta…
- Royalty
- 5.5%
- 40th pct Service Resta…
- Units
- 1
- 3rd pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 3.9x in gross revenue, well above the typical 1.5-2.5x range.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
Bottom line
- Total investment $155K – $265K including a $40K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $812K/year.
- Verdict B (Above Average) with a risk score of 62/100.
- Auditor 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
- Legal entity
- Mochiholic Franchising L.L.C.
- Ultimate parent
- None
- CEO title
- Chief Executive Officer
- Michael Chang
- CEO experience
- 7 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- CA
- HQ
- 6201 Quartz Place, Newark, California 94560
- Auditor
- Metwally CPA PLLC
- Audited financials
- Franchisor revenue
- $37K
- vs $0 prior year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Affiliated brands
- Superchang
- is the owner of the Licensed Marks
- maintains a pr
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate a mochi-based beverage and dessert retail concept, likely focusing on point-of-sale customer service, product preparation (mochi balls, drinks), inventory management, and day-to-day store operations in a protected territory. Daily operations involve handling specialty ingredients, managing foot traffic, training staff, and executing the brand's menu and customer experience standards.
- CEO
- Michael Chang
- Headquarters
- CA
- Founded
- 2022
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing · 15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Diamond Package Feenot refundable | $0 | $12K | |
| Construction and Leasehold Improvements | $40K | $80K | |
| Lease Deposits and Rent - Three Months | $15K | $20K | |
| Furniture, Fixtures and Equipment | $15K | $25K | |
| Signage | $1K | $3K | |
| Computer, Software and Point of Sale System | $2K | $3K | |
| Grand Opening Marketing | $4K | $6K | |
| Initial Inventory | $15K | $20K | |
| Utility Deposits | $500 | $2K | |
| Insurance Deposits - Three Months | $1K | $3K | |
| Travel for Initial Training | $500 | $4K | |
| Professional Fees | $1K | $2K | |
| Licenses and Permits | $500 | $2K | |
| Additional Funds - Three Months | $20K | $35K | |
| Total initial investment | $155K | $255K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$118K
14.5% margin
Unlevered ROIC
50%
EBITDA / total invested capital
Payback
24 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $155K – $265K
- Better than avg vs category
- Liquid capital req'd
- $20K – $35K
- Near category avg vs category
- Franchise fee
- $40K – $40K
- Below avg, review vs category
- Royalty
- 5.5%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 7.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $500 |
| Transfer fee | $20K |
| Renewal fee | $20K |
| Total fee load | 7.5% of rev |
Financial Performance
- Avg gross sales
- $812K
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Company Owned
- Sample size
- 1 units
- vs category median 28 · small
- Transparency
- 9 / 5
- vs category median 4 / 5 · above
Compared against 453 Quick-Service Restaurants brands
vs Quick-Service Restaurants averages
How Mochiholic Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 1
- Last reporting year
- Closed
- 1
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 100.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
- Multi-unit owners
- 50.0%
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 7
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Mochiholic presents caution-level risk due to a pre-scaling single-unit system with unverified financials and insufficient franchisee references.
Litigation (Item 3)
No litigation is required to be disclosed
Largest disclosed settlement: $40,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Metwally CPA PLLC⚠ 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: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 62 / 100 rating
- 01MEDOnly 1 unit in system with unknown growth trajectory — extremely limited proof of concept and inability to validate multi-unit success
- 02MEDNo Item 19 financial performance representations disclosed — cannot independently verify the $812k avg revenue and $300k net income claims
- 03MINORHigh initial investment range ($155k-$265k) relative to single-unit performance creates elevated risk if that one location underperforms
- 04MED5-year term is shorter than industry standard (typically 10 years) — suggests either franchisor caution or limited confidence in long-term model
- 05MEDExtremely limited franchisee network (1 unit) makes authentic due diligence and peer validation nearly impossible
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 2 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Alameda County, California |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 20 hrs
- On-the-job training
- 80 hrs
- Training location
- Pleasanton, California
- POS system
- Revi
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revi
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Mochiholic · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Mochiholic franchise?
The total investment to open a Mochiholic franchise ranges from $155K – $265K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Mochiholic franchise owners earn?
According to Item 19 of the Mochiholic FDD, the average gross sales per unit is $812K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Mochiholic's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Mochiholic (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 Mochiholic franchise locations are there?
As of their most recent FDD filing, Mochiholic has 1 total units in the United States, including 0 franchised units and 1 company-owned units. 1 new units were opened in the latest reporting year.
Is Mochiholic a good franchise to buy?
FranchiseVerdict rates Mochiholic as a B-grade franchise with a risk score of 62 out of 100, 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
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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.