Bottom line
- Total investment $189K – $525K including a $35K franchise fee, 4.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100.
- 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 Myungrang Korean Hot Dog Shop unit return on the cash you put in?
Unlevered ROIC · per unit
15%
Below typical band (30–60%)
Overview
About
Franchisees operate quick-service Korean hot dog shops specializing in fusion-style hot dogs with Korean toppings and sauces. Day-to-day operations involve food preparation, staffing, POS management, inventory control, and customer service in a limited-service format similar to fast-casual concepts. The narrow product focus (Korean hot dogs as primary SKU) requires strong traffic density and brand awareness to achieve profitability.
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 · 11 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Myungrang presents HIGH RISK: a rapidly contracting franchise system with going concern status, zero financial transparency, no territory protection, and a 29% YoY unit collapse that signals fundamental unit-level or operational problems.
Score breakdown · what drove the 72 / 100 rating
- 01MEDSystem contracting sharply: 28.6% unit decline YoY (10 units remaining) suggests franchisee dissatisfaction or poor unit economics
- 02MINORNo financial disclosure: Absent Item 19 revenue/profit data makes ROI analysis impossible; cannot validate $188k-$525k investment thesis
- 03HIGHGoing concern status: Franchisor financial instability raises questions about support, marketing fund viability, and system longevity
- 04MINORNo territory protection: Franchisees vulnerable to cannibalization; franchisor can open competing units nearby without restriction
- 05MINORWeak franchise fee ($35k) relative to total investment suggests front-loaded costs borne by franchisee, not franchisor
- 06MINOR10-year term with 28.6% attrition indicates poor unit retention and potential franchisee ROI challenges
- 07MEDSpecialty product (Korean hot dogs) has narrow addressable market and limited menu diversification
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
16 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Myungrang Korean Hot Dog Shop · FDD (2025) PDF