New York FriesFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A New York Fries franchise requires a total initial investment of $450K – $1.2M, including a $30K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $450K – $1.2M
- 30th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 4
- 10th pct Service Resta…
- SBA default
- 0.0%
- system-wide median varies by category
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
Bottom line
- Total investment $450K – $1.2M including a $30K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 60/100.
- 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
- Recipe Unlimited US, LLC
- Parent company
- Recipe Unlimited Corporation
- Incorporated in
- DE
- HQ
- 199 Four Valley Drive, Vaughan, Ontario, Canada L4K 0B8
- Auditor
- KPMG LLP
- Audited financials
- Franchisor revenue
- $1.4B
- vs $1.4B prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
New York Fries franchisees operate quick-service restaurants specializing in premium fries, hot dogs, and casual fast-food items, typically in high-traffic locations (malls, urban centers). Day-to-day operations include food preparation, inventory management, staff scheduling, and customer service in a counter-service model with limited seating.
- CEO
- Dave Colebrook
- Founded
- 2021
- FDD year
- 2025
- States available
- 2
FDD Item 7 · 2025 filing · 15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $30K | $30K | |
| Rent (1 Month)not refundable | $5K | $25K | |
| Security Deposit (2 Months' Rent)not refundable | $10K | $50K | |
| Leasehold Improvements, Furniture and Fixturesnot refundable | $203K | $792K | |
| Signagenot refundable | $25K | $30K | |
| Equipment and Smallwaresnot refundable | $103K | $162K | |
| Initial Training Expensesnot refundable | $5K | $10K | |
| Pre-Opening Payroll Costsnot refundable | $3K | $5K | |
| Permits and Licensesnot refundable | $1K | $19K | |
| Digital Systemnot refundable | $20K | $28K | |
| Initial Inventory/Suppliesnot refundable | $3K | $5K | |
| Professional Servicesnot refundable | $5K | $10K | |
| Grand Opening Marketing Expensesnot refundable | $5K | $8K | |
| Insurancenot refundable | $8K | $30K | |
| Additional Funds - For Initial 3-Month Periodnot refundable | $25K | $30K | |
| Total initial investment | $450K | $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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $450K – $1.2M
- Better than avg vs category
- Liquid capital req'd
- $25K – $30K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- 6.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.5%
- typical 3–5%
- Total fee load
- 8.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.5% of gross sales |
| Technology fee | $0 |
| Training fee | $50 |
| Transfer fee | $15K |
| Renewal fee | $8K |
| Total fee load | 8.5% 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 New York Fries Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 4
- Opened
- 4
- 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
- 4
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 10
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 2 states 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.
2
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $220K
- Median loan
- $110K
- 50th percentile
- Charge-off rate
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 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 New York Fries'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 2 states
- Startup risk premium and job creation velocity
- 2-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
New York Fries presents HIGH RISK due to a near-defunct 4-unit system, multiple pending lawsuits for misrepresentation, missing financial disclosures, and unprotected territories—investors cannot assess returns or validate the business model.
Litigation (Item 3)
Parent company (Recipe Unlimited Corporation) is involved in pending franchise-related litigation outside the United States, primarily in Canada.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · KPMG LLP
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 60 / 100 rating
- 01MINOROnly 4 operating units suggests a collapsing or stalled franchise system with minimal growth trajectory
- 02MINORSix pending legal actions against parent company involving misrepresentation and breach of contract indicate systemic operational or disclosure issues
- 03MEDNo average revenue or net income disclosed (missing Item 19) prevents accurate ROI assessment on $450k-$1.2M investment
- 04MINORUnprotected territory creates direct competition risk—franchisees can cannibalize each other's sales in same market
- 05MED6% royalty on undisclosed revenue streams makes profitability modeling impossible; combined with $30k fee, margin sustainability is unclear
- 06MINOR10-year term with only 4 units suggests poor franchisee retention and high failure/exit rates
- 07HIGHParent company litigation in multiple countries (Canada, India) indicates franchise model may be fundamentally flawed or misrepresented
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 |
| Protected territory | No |
| Exclusive territoryℹ | No |
| 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 | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 21 days |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 6 |
View Item 3 litigation summary
Parent company (Recipe Unlimited Corporation) is involved in pending franchise-related litigation outside the United States, primarily in Canada.
Items 10, 11
Training & Operations
- Classroom training
- 21 hrs
- On-the-job training
- 106 hrs
- Training location
- On-site and at franchisor facility
- Ongoing training
- Required
- Time to open
- 18 mo
- From signing to launch
- POS system
- Oracle
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Oracle
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
New York Fries · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a New York Fries franchise?
The total investment to open a New York Fries franchise ranges from $450K – $1.2M, 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 New York Fries franchise owners earn?
New York Fries 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 New York Fries's franchise failure rate?
SBA 7(a) loan charge-off data is not available for New York Fries (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 New York Fries franchise locations are there?
As of their most recent FDD filing, New York Fries has 4 total units in the United States, including 0 franchised units and 4 company-owned units. 4 new units were opened in the latest reporting year.
Is New York Fries a good franchise to buy?
FranchiseVerdict rates New York Fries as a B-grade franchise with a risk score of 60 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.