Mr. Charlie’s Told Me SoFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A MR. CHARLIE’S TOLD ME SO franchise requires a total initial investment of $283K – $698K, including a $35K franchise fee and an ongoing 5.0% royalty[2]. Per the 2025 FDD, average unit revenue was $1.3M[2]. Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $283K – $698K
- 17th pct Service Resta…
- Avg gross sales
- $1.3M
- 14th pct Service Resta…
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 2
- 6th pct Service Resta…
- SBA default
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-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
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $283K – $698K including a $35K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.3M/year.
- Verdict B (Above Average) with a risk score of 58/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Mr. Charlie’s World LLC
- Parent company
- Sona Terra Inc.
- CEO title
- Chief Executive Officer
- David Shneer
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- CA
- HQ
- 450 North Bedford Drive, Suite 312, Beverly Hills, California 90210
- Auditor
- Metwally CPA PLLC
- Audited financials
- Franchisor revenue
- $13K
- Most recent fiscal year
Overview
About
Mr. Charlie's Told Me So appears to be a retail or service-based franchise (specific model unclear from data). Franchisees operate from a physical location, generating approximately $1.35M in average revenue, likely involving customer-facing sales, inventory management, and local marketing to meet territorial obligations.
- CEO
- David Shneer
- Headquarters
- CA
- Founded
- 2024
- FDD year
- 2025
- States available
- 0
FDD Item 7 · 2025 filing · 34 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee (Restaurant)not refundable | $35K | $35K | |
| Security Deposit | $5K | $5K | |
| Initial Training Expensesnot refundable | $500 | $10K | |
| Food Handler Certificationnot refundable | $200 | $500 | |
| Lease Deposit & Rent (3 months) | $12K | $80K | |
| Architect Feesnot refundable | $9K | $11K | |
| Constructionnot refundable | $100K | $300K | |
| Exterior & Interior Signagenot refundable | $15K | $30K | |
| Furniture, Fixtures & Decornot refundable | $9K | $20K | |
| Technology Systemsnot refundable | $9K | $18K | |
| Kitchen Equipmentnot refundable | $32K | $57K | |
| Employee Uniformsnot refundable | $3K | $4K | |
| Opening Inventorynot refundable | $23K | $52K | |
| Grand Opening Advertisingnot refundable | $5K | $12K | |
| Office Suppliesnot refundable | $500 | $900 | |
| Utility Depositsnot refundable | $4K | $5K | |
| Business Licenses & Permitsnot refundable | $2K | $6K | |
| Professional Feesnot refundable | $5K | $16K | |
| Insurance Premium (3 months)not refundable | $600 | $1K | |
| Additional Funds (3 months)not refundable | $15K | $35K | |
| Total initial investment | $495K | $1.2M |
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
$148K
11.0% margin
Unlevered ROIC
29%
EBITDA / total invested capital
Payback
3.5 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $283K – $698K
- Better than avg vs category
- Liquid capital req'd
- $15K – $35K
- Better than avg vs category
- Franchise fee
- $35K – $35K
- Better than avg vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $150 |
| Training fee | $500 |
| Transfer fee | $10K |
| Renewal fee | $18K |
| Total fee load | 7.0% of rev |
Financial Performance
- Avg gross sales
- $1.3M
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Historical
- Sample size
- 2 units
- vs category median 13 · small
- Range (low → high)
- $1.2M→$1.5M
- Cohort dispersion (min → max)
- Transparency
- 3 / 5
- vs category median 4 / 5 · below
Compared against 1264 Full-Service Restaurants brands
vs Full-Service Restaurants averages
How Mr. Charlie’s Told Me So Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 2
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
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
Extremely high-risk opportunity: micro-system with active litigation, undisclosed profitability, going concern issues, and massive investment range relative to only 2 operating units.
Litigation (Item 3)
Tustin Legacy, LLC v. Aaron Haxton, Taylor Mckinnon & Mr. Charlie Told Me So LLC - Corporate dispute regarding 25% ownership interest in MCTMS, alleged breach of oral agreement, conversion of corporate funds, and unfair business practices. Claims for declaratory relief, breach of fiduciary duty, conversion, theft under Penal Code 496, constructive trust, and unfair competition. Damages sought: at least $1,200,000 plus punitive damages and attorney's fees. Defendants filed Answer and Cross-Complaint on April 24, 2024.
Bankruptcy (Item 4)
Disclosed in last 7 years
In re Amanda Marie Mckinnon and Antonio David Mckinnon, Case No. 2:19-bk-13970-BB, U.S. Bankruptcy Court, Central District of California. Filed April 8, 2019 under Chapter 7. Discharged July 24, 2019.
Audited financials (Item 21)
Yes · Metwally CPA PLLC
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 58 / 100 rating
- 01MINOROnly 2 units in system with unknown growth trajectory suggests stagnant or shrinking franchise network
- 02HIGHActive litigation involving ownership disputes and alleged fund diversion raises governance and financial integrity concerns
- 03HIGHGoing Concern status is FALSE — indicates financial distress or sustainability questions at corporate level
- 04MEDNet income not disclosed despite $1.35M average revenue — opacity on profitability is a major red flag
- 05MINORHigh investment range ($282K-$697K) relative to tiny 2-unit system increases franchisee risk significantly
- 06MINOR5% royalty on gross sales (not net) means franchisor profits even when franchisees lose money
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 | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 1 |
View Item 3 litigation summary
Tustin Legacy, LLC v. Aaron Haxton, Taylor Mckinnon & Mr. Charlie Told Me So LLC - Corporate dispute regarding 25% ownership interest in MCTMS, alleged breach of oral agreement, conversion of corporate funds, and unfair business practices. Claims for declaratory relief, breach of fiduciary duty, conversion, theft under Penal Code 496, constructive trust, and unfair competition. Damages sought: at least $1,200,000 plus punitive damages and attorney's fees. Defendants filed Answer and Cross-Complaint on April 24, 2024.
Items 10, 11
Training & Operations
- Classroom training
- 44 hrs
- On-the-job training
- 120 hrs
- Training location
- San Francisco or Los Angeles
- Ongoing training
- Required
- Field support
- 120 hrs/yr
- On-site visits per year
- POS system
- Toast
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Toast
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
MR. CHARLIE’S TOLD ME SO · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a MR. CHARLIE’S TOLD ME SO franchise?
The total investment to open a MR. CHARLIE’S TOLD ME SO franchise ranges from $283K – $698K, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do MR. CHARLIE’S TOLD ME SO franchise owners earn?
According to Item 19 of the MR. CHARLIE’S TOLD ME SO FDD, the average gross sales per unit is $1.3M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is MR. CHARLIE’S TOLD ME SO's franchise failure rate?
SBA 7(a) loan charge-off data is not available for MR. CHARLIE’S TOLD ME SO (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 MR. CHARLIE’S TOLD ME SO franchise locations are there?
As of their most recent FDD filing, MR. CHARLIE’S TOLD ME SO has 2 total units in the United States, including 0 franchised units and 2 company-owned units.
Is MR. CHARLIE’S TOLD ME SO a good franchise to buy?
FranchiseVerdict rates MR. CHARLIE’S TOLD ME SO as a B-grade franchise with a risk score of 58 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.