NrGize Lifestyle CafeFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A NrGize Lifestyle Cafe franchise requires a total initial investment of $89K – $454K, including a $30K franchise fee. 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
- $89K – $454K
- 7th pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- N/A
- Units
- 57
- 64th pct Service Resta…
- SBA default
- 25.0%
- system-wide median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-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
21 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $89K – $454K including a $30K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 59/100.
- 21 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Kahala Franchising, L.L.C.
- Parent company
- MTY Franchising USA, Inc.
- Ultimate parent
- MTY Food Group, Inc.
- CEO title
- Chief Executive Officer
- Eric Lefebvre
- CEO experience
- 19 yrs
- Years in role or industry
- Incorporated in
- AZ
- HQ
- 9311 E. Via De Ventura, Scottsdale, Arizona 85258
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $606.6M
- vs $597.5M prior year
Overview
About
NrGize Lifestyle Cafe franchisees operate fast-casual beverage and healthy lifestyle retail locations, serving energy drinks, wellness supplements, and health-focused beverages. Day-to-day operations include inventory management, POS transactions, staff scheduling, customer service, and promotional activities to drive foot traffic and repeat business. Franchisees are responsible for local marketing, lease negotiation, and maintaining brand standards across their territory.
- CEO
- Eric Lefebvre
- Headquarters
- AZ
- FDD year
- 2025
- States available
- 11
FDD Item 7 · 2025 filing · 39 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee (Traditional) | $14K | $30K | |
| Lease Review Fee (Traditional) | $0 | $3K | |
| Rent/Security Deposit (for 3 months) (Traditional) | $6K | $30K | |
| Travel and Living Expenses (2 persons) during training (Traditional) | $3K | $5K | |
| Real Estate (Traditional) | — | — | |
| Leasehold Improvements, Restaurant Equipment, Furniture, Small Wares, Menu Panels, Computer Hardware, Cameras, Architectural Fees, Signage, Security Devices/Software (POS System) (Traditional) | $66K | $335K | |
| PCI Compliance Costs (Traditional) | $150 | $1K | |
| Opening Inventory (food and paper) (Traditional) | $3K | $7K | |
| Business Insurance (Traditional) | $1K | $5K | |
| Miscellaneous Opening Costs (Traditional) | $5K | $16K | |
| Grand Opening Marketing (Traditional) | $5K | $5K | |
| Depository Account (Traditional) | $3K | $3K | |
| Additional Funds - 3 month initial period (Traditional) | $5K | $15K | |
| Initial Franchise Fee (Non-Traditional) | $4K | $8K | |
| Lease Review Fee (Non-Traditional) | $0 | $3K | |
| Rent/Security Deposit (for 3 months) (Non-Traditional) | $6K | $30K | |
| Travel and Living Expenses (2 persons) during training (Non-Traditional) | $3K | $5K | |
| Real Estate (Non-Traditional) | — | — | |
| Architectural and Project Management Fees (Non-Traditional) | $10K | $20K | |
| Leasehold Improvements (Non-Traditional) | $15K | $184K | |
| Total initial investment | $352K | $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
- $89K – $454K
- Better than avg vs category
- Liquid capital req'd
- $5K – $15K
- Better than avg vs category
- Franchise fee
- $15K – $30K
- Better than avg vs category
- Royalty
- Greater of 6% of weekly Gross Sales or $150 per week
- Ad fund
- 0.5%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | greater of 6% of total weekly Gross Sales or $150 per week |
| Marketing / ad fund | 0.5% of gross sales |
| Technology fee | $55 |
| Training fee | $1K |
| Transfer fee | $8K |
| Renewal fee | $15K |
| Total fee load | 6.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How NrGize Lifestyle Cafe Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 57
- Opened
- 1
- Last reporting year
- Closed
- 1
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 1.8%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- -5.0%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 4
- Projected new
- 0
- Franchisor's next-year forecast
- Transfer rate
- 7.0%
- Owners selling to other franchisees
- Ceased ops
- 1.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 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 loan disclosures. This brand has only 6 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 6
- Loan volume
- $437K
- Median loan
- $77K
- 50th percentile
- Charge-off rate
- 25.0%
- 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)
- 75.0%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 5
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into NrGize Lifestyle Cafe's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 4 lenders with concentration factor
- Per-state charge-off rates across 4 states
- Startup risk premium and job creation velocity
- 3-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
NrGize presents meaningful risks due to undisclosed financials, unprotected territory, litigation history involving misrepresentation, and an opaque unit economics picture that prevents accurate ROI assessment.
Litigation (Item 3)
Two concluded litigation matters involving franchisor predecessors and affiliates. (1) Purav Enterprises, L.L.C. v. The Extreme Pita Franchising USA, Inc. (Washington King County Superior Court, Case No. 15-2-15120-7, filed June 22, 2015) - Alleged FIPA violations, misrepresentation of financial performance, and unregistered broker issues. Settled March 11, 2016 for $20,000; dismissed March 16, 2016. (2) KOHO, Inc. v. Kahala Franchising, L.L.C. (California Los Angeles County Superior Court, Case No. BC572565, filed February 17, 2015) - Alleged breach of contract, unjust enrichment, and declaratory relief. Kahala filed cross-complaint with multiple causes of action including fraud and negligent misrepresentation. Court granted judgment in favor of Kahala on July 18, 2016 (awarded $205,000 in attorney's fees). Settlement reached June 19, 2017 whereby Kahala repurchased Koho's Area Developer territory for $75,000 and forgave remaining damages.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
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 59 / 100 rating
- 01MINORNo Item 19 (Average Unit Volume) disclosure—inability to assess unit economics or profitability claims
- 02HIGHMultiple litigation matters involving breach of contract and misrepresentation allegations against franchisor
- 03MINORUnprotected territory creates direct competition risk from other NrGize franchisees and company-owned units
- 04MINORRoyalty structure ($150/week minimum) represents fixed overhead even during slow revenue periods
- 05MEDOnly 57 total units with unknown growth trajectory suggests limited brand recognition and system maturity
- 06MINORWide investment range ($89K–$454K) indicates inconsistent unit models or unclear cost structure
- 07MINORTwo active franchisor lawsuits against franchisees signal potential disputes over performance standards or contract terms
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 |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 90 days |
| Mandatory arbitration | Yes |
| Arbitration location | franchisee_state |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 21 |
View Item 3 litigation summary
Two concluded litigation matters involving franchisor predecessors and affiliates. (1) Purav Enterprises, L.L.C. v. The Extreme Pita Franchising USA, Inc. (Washington King County Superior Court, Case No. 15-2-15120-7, filed June 22, 2015) - Alleged FIPA violations, misrepresentation of financial performance, and unregistered broker issues. Settled March 11, 2016 for $20,000; dismissed March 16, 2016. (2) KOHO, Inc. v. Kahala Franchising, L.L.C. (California Los Angeles County Superior Court, Case No. BC572565, filed February 17, 2015) - Alleged breach of contract, unjust enrichment, and declaratory relief. Kahala filed cross-complaint with multiple causes of action including fraud and negligent misrepresentation. Court granted judgment in favor of Kahala on July 18, 2016 (awarded $205,000 in attorney's fees). Settlement reached June 19, 2017 whereby Kahala repurchased Koho's Area Developer territory for $75,000 and forgave remaining damages.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 16 hrs
- Training location
- On-site and corporate
- Time to open
- 9 mo
- From signing to launch
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
4 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
NrGize Lifestyle Cafe · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a NrGize Lifestyle Cafe franchise?
The total investment to open a NrGize Lifestyle Cafe franchise ranges from $89K – $454K, 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 NrGize Lifestyle Cafe franchise owners earn?
NrGize Lifestyle Cafe 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 NrGize Lifestyle Cafe's franchise failure rate?
SBA 7(a) loan charge-off data is not available for NrGize Lifestyle Cafe (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 NrGize Lifestyle Cafe franchise locations are there?
As of their most recent FDD filing, NrGize Lifestyle Cafe has 57 total units in the United States, including 57 franchised units and 0 company-owned units. 1 new units were opened in the latest reporting year.
Is NrGize Lifestyle Cafe a good franchise to buy?
FranchiseVerdict rates NrGize Lifestyle Cafe as a B-grade franchise with a risk score of 59 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.