Nan Xiang Xiao Long BaoFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Nan Xiang Xiao Long Bao franchise requires a total initial investment of $1.2M – $1.9M, including a $60K franchise fee. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: C. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $1.2M – $1.9M
- 44th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- N/A
- Units
- 10
- 21st 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 2026. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $1.2M – $1.9M including a $60K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict C (Average) with a risk score of 65/100.
- 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
- Legal entity
- NAN XIANG FRANCHISOR LLC
- Parent company
- 213 Management Group Inc.
- CEO title
- Chief Executive Officer
- Xing Yan (“Eddie”) Zheng
- Incorporated in
- NV
- HQ
- 109 North 5th Street, Saddle Brook, NJ 07663
- Auditor
- MUHAMMAD ZUBAIRY, CPA PC
- Audited financials
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Franchisees operate casual dining or QSR locations specializing in Nan Xiang xiaolongbao (soup dumplings) and complementary Chinese cuisine. Day-to-day operations involve food preparation, inventory management, point-of-sale transactions, and customer service in a fast-casual to full-service restaurant environment.
- CEO
- Xing Yan (“Eddie”) Zheng
- Headquarters
- NJ
- Founded
- 2026
- FDD year
- 2026
- States available
- 6
FDD Item 7 · 2026 filing · 17 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $60K | $60K | |
| Opening Support Feenot refundable | $240K | $240K | |
| Construction and Leasehold Improvements | $500K | $1.0M | |
| Furniture, Fixtures, and Equipment | $150K | $170K | |
| Signs | $10K | $15K | |
| Technology Systems | $5K | $10K | |
| Initial Supply of Proprietary Items | $50K | $60K | |
| Other Initial Inventory | $5K | $8K | |
| Rent (3 Months) and Lease Deposits | $60K | $150K | |
| Utility Deposits | $6K | $12K | |
| Insurance Deposits and Premiums | $5K | $12K | |
| Travel and Lodging for Initial Training | $3K | $5K | |
| Grand Opening Advertising | $12K | $17K | |
| Professional Fees | $4K | $10K | |
| Business Licenses and Permits | $15K | $35K | |
| Printing, Stationary, and Office Supplies | $6K | $10K | |
| Additional Funds - First 3 Months of Operation | $50K | $80K | |
| Total initial investment | $1.2M | $1.9M |
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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.2M – $1.9M
- Near category avg vs category
- Liquid capital req'd
- $50K – $80K
- Better than avg vs category
- Franchise fee
- $60K – $60K
- Near category avg vs category
- Royalty
- Up to 5% of Gross Sales
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $200 |
| Transfer fee | $10K |
| Renewal fee | $50K |
| Total fee load | 6.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Full-Service Restaurants averages
How Nan Xiang Xiao Long Bao Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 10
- 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
- 10
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 8
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 6 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
High-investment, unproven niche concept with no financial transparency, micro-scale system, and franchisor stability concerns creates substantial financial and operational risk.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · MUHAMMAD ZUBAIRY, CPA PC
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 65 / 100 rating
- 01MEDNo Item 19 financial performance data disclosed — impossible to validate ROI claims or break-even timeline
- 02HIGHGoing Concern status is FALSE, indicating potential financial instability at franchisor level
- 03MEDOnly 10 units system-wide suggests minimal scale, limited support infrastructure, and unproven model
- 04MEDHigh initial investment ($1.18M–$1.89M) with no disclosed average revenue creates severe risk/reward imbalance
- 05MEDNo disclosed unit growth trajectory — unclear if system is expanding, stagnant, or contracting
- 06MINORSpecialty concept (xiaolongbao) limits addressable market and customer base compared to broad-appeal cuisines
- 07MEDUp to 5% royalty on undisclosed revenue base makes ongoing cost burden unpredictable
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 | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rightsℹ | 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 |
| RoFR response window | 60 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Saddle Brook, NJ |
| Jury trial waiver | Yes |
| Governing law | New Jersey |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 144 hrs
- On-the-job training
- 288 hrs
- Training location
- On-site at franchisee's restaurant and franchisor's facility
- Ongoing training
- Required
- Time to open
- 18 mo
- From signing to launch
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
10 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Nan Xiang Xiao Long Bao · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Nan Xiang Xiao Long Bao franchise?
The total investment to open a Nan Xiang Xiao Long Bao franchise ranges from $1.2M – $1.9M, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Nan Xiang Xiao Long Bao franchise owners earn?
Nan Xiang Xiao Long Bao does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Nan Xiang Xiao Long Bao's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Nan Xiang Xiao Long Bao (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 Nan Xiang Xiao Long Bao franchise locations are there?
As of their most recent FDD filing, Nan Xiang Xiao Long Bao has 10 total units in the United States, including 0 franchised units and 10 company-owned units.
Is Nan Xiang Xiao Long Bao a good franchise to buy?
FranchiseVerdict rates Nan Xiang Xiao Long Bao as a C-grade franchise with a risk score of 65 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.