Nomoo Franchise Cost, Revenue & Review 2026
- Investment
- $328K – $733K
- Disclosed sales
- $1.4M
- gross sales, not profit
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Nomoo is a quick-service franchise serving plant-based burgers and fast food. Franchisees run the restaurants, managing food prep, staffing, and counter service.
FranchiseVerdict summary · 2026
A Nomoo franchise requires a total initial investment of $328K – $733K, including a $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2022 FDD, average unit revenue was $1.4M[2]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: high - issued more than two years ago
Evidence: partial✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored7 of 7 headline figures on this page cite a page of the filing.
Overview
- Investment
- $328K – $733K
- 54th pct Service Resta…
- Avg gross sales
- $1.4M
- Company-owned only1 outlet
- Royalty
- 6.0%
- 48th pct Service Resta…
- Units
- 1
- 3rd pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $328K – $733K including a $35K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $1.4M/year (company-owned outlets only - not franchisee performance).
- RISKVerdict D (Below average), verdict score 35/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 0 closed) (Item 20).
- FLAGRevenue data based on only 1 outlet. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Nomoo USA LLC
- Ultimate parent
- Nomoo Branding LLC
- FDD Item 1, page 8 of the 2022 FDD
- CEO title
- Principal Contact
- George Montagu Brown
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- DE
- HQ
- 7507 Melrose Avenue, Los Angeles, California 90046
- Auditor
- Raich Ende Malter & Co. LLP
- Audited financials
Overview
About
- CEO
- George Montagu Brown
- Headquarters
- CA
- Founded
- 2022
- FDD year
- 2022
- States available
- 0
Can you afford it, and what does the money buy?
Entry cost runs 9% above the typical quick-service restaurants franchise.
Source: FDD 2022 · Items 5–7
Full Item 7 breakdown21 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $35K | $35K | |
| Delayed Opening Fee | $0 | $9K | |
| Your Training Expenses | $8K | $15K | |
| Third Party Management/Leadership Training (McClaskey Excellence Institute or similar program) | $2K | $10K | |
| Premises Deposits | $5K | $15K | |
| Rent - 3 months | $15K | $30K | |
| Design and Architect Fees | $20K | $45K | |
| On-Site Location Evaluation | $0 | $500 | |
| Leasehold Improvements, Construction and/or Remodeling | $40K | $250K | |
| Equipment, Furniture & Fixtures | $75K | $100K | |
| Interior and Exterior Signage | $17K | $44K | |
| Business Licenses and Permits | $1K | $5K | |
| Computer Systems | $3K | $7K | |
| Computer Systems - Installation and Training | $0 | $2K | |
| Initial Inventory to Begin Operating | $3K | $7K | |
| Professional Fees | $2K | $5K | |
| Pre-Opening Assistance and Training | $10K | $10K | |
| Grand Opening Advertising | $15K | $15K | |
| Insurance | $2K | $3K | |
| Ancillary Real Estate Costs | $5K | $25K | |
| Total initial investment | $328K | $733K |
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
- $328K – $733K
- Middle of category vs category
- Liquid capital req'd
- $70K – $100K
- Bottom third — review vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% |
| Technology fee | $0 |
| Training fee | $10K |
| Transfer fee | $15K |
| Renewal fee | $5K |
| Inventory (initial) | $3K – $7K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales run 43% above the quick-service restaurants norm.
Company-owned outlets only - not franchisee performance
Based on a single outlet - not a system average
Source: FDD 2022 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Nomoo until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$615K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Nomoo unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2022 FDD
Financial Performance
Company-owned outlets only - not franchisee performance
Based on a single outlet - not a system average
- Avg gross sales
- $1.4M
- Per unit, per year
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross sales
- Sample size
- 1 outlet
- vs category median 19 · small
- Reported figure
- $1.4MCited, not corroborated — printed on page 49 of the 2022 FDD. Nothing else in our record independently restates or re-derives it.
- A single outlet — not a range
- Reporting year
- 2021
- Fiscal year the figures cover
- Source filing
- FDD 2022
- Disclosed in the 2022 filing, covering 2021
- Transparency
- 6 / 10
- vs category median 4 / 10 · above
Compared against 781 Quick-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $1.4M/year in gross sales. Revenue-to-investment ratio: 2.6x. Company-owned outlets only - not franchisee performance.
Fee burden
Total ongoing fee load of 8.0% (near the Quick-Service Restaurants median).
Disclosure
Transparency score 6/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence. Sample size of 1 outlet — treat as directional only.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants medians
How Nomoo Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2022 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- 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
- N/A
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
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.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Nomoo presents HIGH RISK due to an underdeveloped single-unit franchise system, undisclosed profitability, questionable franchisor financial health, and insufficient data to validate the claimed $1.4M revenue figure.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Raich Ende Malter & Co. LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Franchisor formed February 16, 2022; audited statements cover inception through April 30, 2022 (no 3 prior years). Revenue was $0 for the period; net loss of $22,500.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- 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 35 / 100 verdict
- 01MINOROnly 1 operating unit with unknown growth trajectory indicates nascent/stalled franchise system with minimal proof of concept
- 02MEDNet Income not disclosed despite $1.39M average revenue claim — prevents ROI validation and profitability assessment
- 03MEDHigh investment range ($328K-$732K) relative to single unit and undisclosed profits creates asymmetric risk for franchisee
- 04MINORFranchise system appears pre-revenue or severely underdeveloped with only 1 unit after established brand presence
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2022 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 20 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 5 days |
| Mandatory arbitration | Yes |
| Arbitration location | California |
| Jury trial waiver | No |
| Governing law | DE |
| 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
- 16 hrs
- On-the-job training
- 110 hrs
- Training location
- Los Angeles, California (HQ/affiliate-owned outlet)
- Ongoing training
- Required
- Field support
- 10 hrs/yr
- On-site visits per year
- Time to open
- 9 mo
- From signing to launch
- Site selection
- franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Franchisor-specified POS system
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Franchisor-specified POS system
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Nomoo franchise?
The total investment to open a Nomoo franchise ranges from $328K – $733K, 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 Nomoo franchise owners earn?
According to Item 19 of the Nomoo FDD, the average gross sales per unit is $1.4M. Important context: Company-owned outlets only - not franchisee performance; Based on a single outlet - not a system average. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Nomoo?
Nomoo is franchised by Nomoo USA LLC. The ultimate parent named in the FDD is Nomoo Branding LLC. Source: FDD Item 1, 2022 filing.
What is Item 19 in the Nomoo FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Nomoo FDD and qualifies whose outlets they describe.
What is Nomoo's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Nomoo (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 Nomoo franchise locations are there?
As of their most recent FDD filing, Nomoo has 1 total units in the United States.
Is Nomoo a good franchise to buy?
FranchiseVerdict rates Nomoo as a D-grade franchise with a verdict score of 35 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
Are you the franchisor?
If you represent Nomoo, you can request corrections or provide updated information.
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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.