Naf Naf Middle Eastern GrillFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Naf Naf Middle Eastern Grill franchise requires a total initial investment of $501K – $819K, including a $30K franchise fee and an ongoing 5.0% royalty[2]. Per the 2025 FDD, average unit revenue was $1.0M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $501K – $819K
- 33rd pct Service Resta…
- Avg gross sales
- $1.0M
- 10th pct Service Resta…
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 41
- 35th 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
The system grew 25% year-over-year. Fast growth means demand, but can strain support.
47% cash-on-cash return (based on EBITDAR). Above the 20% threshold most investors target.
Bottom line
- Total investment $501K – $819K including a $30K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.0M/year (median $1.1M), with an estimated 47% cash-on-cash return (based on EBITDAR).
- Verdict A (Top Quintile) with a risk score of 5/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Naf-Naf Franchising LLC
- Parent company
- Naf-Naf Holdings, LLC
- Incorporated in
- DE
- HQ
- 720 North Franklin, Suite 400, Chicago, Illinois 60654
- Auditor
- Sikich CPA LLC
- Audited financials
- Franchisor revenue
- $965K
- vs $1.1M prior year
Overview
About
Franchisees operate fast-casual Middle Eastern grill concepts serving shawarma, kebabs, and Mediterranean bowls. Day-to-day operations involve food prep, counter service, inventory management, and customer-facing service in a QSR environment with average unit volumes exceeding $1M annually.
- CEO
- Greg Willman
- Headquarters
- IL
- Founded
- 2018
- FDD year
- 2025
- States available
- 11
FDD Item 7 · 2025 filing · 15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $30K | $30K | |
| Rent and Security Deposit | — | — | |
| Construction / Leasehold Improvementsnot refundable | $175K | $350K | |
| Architect/Engineers/Expeditor Feesnot refundable | $12K | $32K | |
| Furniture, Fixtures, and Equipmentnot refundable | $184K | $225K | |
| Exterior Signagenot refundable | $9K | $25K | |
| Digital/Menu Boardsnot refundable | $9K | $12K | |
| Opening Inventorynot refundable | $15K | $17K | |
| Smallwares and Uniformsnot refundable | $14K | $17K | |
| Point-of-Sale and Computer Systemsnot refundable | $12K | $14K | |
| Market Introduction Programnot refundable | $10K | $10K | |
| Training Expensesnot refundable | $7K | $12K | |
| Insurance (Annual)not refundable | $4K | $10K | |
| Miscellaneous Opening Costsnot refundable | $10K | $25K | |
| Additional Funds - 3 monthsnot refundable | $10K | $40K | |
| Total initial investment | $501K | $819K |
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
$124K
12.0% margin
Unlevered ROIC
18%
EBITDA / total invested capital
Payback
5.5 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $501K – $819K
- Better than avg vs category
- Liquid capital req'd
- $10K – $40K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
- Payback period
- 2.1 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $6K |
| Transfer fee | $15K |
| Renewal fee | $15K |
| Total fee load | 6.0% of rev |
A 6.0% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $1.0M
- Per unit, per year
- Median gross sales
- $1.1M
- Avg ebitdar
- $312K
- Reported as EBITDAR in FDD Item 19
- Cash-on-cash
- 47.3%
- Based on EBITDAR / investment midpoint
- Item 19 type
- net_sales
- Sample size
- 32 units
- vs category median 13 · large
- Range (low → high)
- $392K→$1.6M
- Cohort dispersion (min → max)
- Transparency tier
- limited
- Categorical assessment of disclosure depth
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 1264 Full-Service Restaurants brands
vs Full-Service Restaurants averages
How Naf Naf Middle Eastern Grill Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 41
- Opened
- 5
- 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
- 2.4%
- Company-owned
- 21
- Corporate units in the system
- % franchised
- 49%
- vs corporate-owned
- Multi-unit owners
- 5.0%
- Net growth (yr3)
- +25.0%
- Net unit change last year
- 3-yr CAGR
- +33.3%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 6
- Franchisor's next-year forecast
- Termination rate
- 2.4%
- Franchisor-initiated terminations
- Ceased ops
- 2.4%
- Units that stopped operating
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 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 4 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 4
- Loan volume
- $3.5M
- Median loan
- $450K
- 50th percentile
- Charge-off rate
- N/A
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
- 2
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Naf Naf Middle Eastern Grill's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 2 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Moderate-to-caution risk profile: solid unit growth and revenue metrics offset by lack of financial disclosure verification, aggressive expansion trajectory, and unclear franchisor financial status.
Litigation (Item 3)
No litigation required to be disclosed
Largest disclosed settlement: $30
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy Code; (b) obtained a discharge of its debts under the Bankruptcy Code; or (c) was a principal officer of a company or a general partner in a partnership that either filed as a debtor (or had filed against it) a petition to start an action under the U.S. Bankruptcy Code or that obtained a
Audited financials (Item 21)
Yes · Sikich CPA LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- 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 5 / 100 rating
- 01MEDNo Item 19 (Financial Performance Representations) disclosed — cannot verify the $311,877 avg net income claim independently
- 02MINORRapid unit growth of 25% YoY suggests expansion velocity that may outpace quality control and support infrastructure
- 03MEDHigh initial investment ($501k-$819k) relative to disclosed net income creates 1.6-2.6 year payback pressure
- 04MINOR5% royalty on bi-weekly net sales is unusual structure — clarifies whether this applies to gross or net, creating potential ambiguity
- 05HIGHGoing Concern = False is ambiguous — does not clearly indicate financial health status of franchisor
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 | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Territory population | 30,000 |
| 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 | Yes |
| Arbitration location | Chicago, Illinois |
| Jury trial waiver | Yes |
| Governing law | Illinois |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 30 hrs
- On-the-job training
- 130 hrs
- Training location
- On-site and off-site
- Time to open
- 6 mo
- From signing to launch
- Site selection
- joint
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
18 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Naf Naf Middle Eastern Grill · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Naf Naf Middle Eastern Grill franchise?
The total investment to open a Naf Naf Middle Eastern Grill franchise ranges from $501K – $819K, 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 Naf Naf Middle Eastern Grill franchise owners earn?
According to Item 19 of the Naf Naf Middle Eastern Grill FDD, the average gross sales per unit is $1.0M. The median is $1.1M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Naf Naf Middle Eastern Grill's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Naf Naf Middle Eastern Grill (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 Naf Naf Middle Eastern Grill franchise locations are there?
As of their most recent FDD filing, Naf Naf Middle Eastern Grill has 41 total units in the United States, including 15 franchised units and 21 company-owned units. 5 new units were opened in the latest reporting year.
Is Naf Naf Middle Eastern Grill a good franchise to buy?
FranchiseVerdict rates Naf Naf Middle Eastern Grill as a A-grade franchise with a risk score of 5 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.
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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.