Orange LeafFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A ORANGE LEAF franchise requires a total initial investment of $349K – $522K, including a $30K franchise fee and an ongoing 5.0% royalty[2]. Per the 2025 FDD, average unit revenue was $516K[2]. SBA 7(a) loans show a 25.0% charge-off rate across 37 loans[1]. Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $349K – $522K
- 23rd pct Service Resta…
- Avg gross sales
- $516K
- 2nd pct Service Resta…
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 61
- 38th pct Service Resta…
- SBA default
- 25.0%
- 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
25.0% of SBA loans charged off across 37 loans, above the 16% franchise average.
Franchised units fell from 70 to 61 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $349K – $522K including a $30K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $516K/year.
- Verdict F (Bottom Quintile) with a risk score of 99/100. SBA loan charge-off rate of 25.0% across 37 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System contracting at -12.9% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- ORANGE LEAF FC, LLC
- Parent company
- Orange Leaf, LLC
- Ultimate parent
- Legacy Brands International LLC
- CEO title
- Chief Executive Officer
- Sherif Mityas
- Incorporated in
- TX
- HQ
- 14860 Montfort Drive, Suite 150 PMB 34, Dallas, Texas 75254
- Auditor
- A&G LLP
- Audited financials
- Franchisor revenue
- $1.3M
- vs $1.5M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- CJ Fresh Holdings FC
- Souper Salad FC
- Humble Ds FC
- Brix Brands Operating Co
- Smoothie Holdings FC
- Humble Ds
- Red Mango FC
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Orange Leaf franchisees operate self-serve frozen yogurt retail locations where customers fill their own cups, select toppings, and pay by weight. Day-to-day operations include managing equipment, maintaining yogurt and topping inventory, staff scheduling, cleaning, and handling point-of-sale transactions in a fast-casual QSR environment.
- CEO
- Sherif Mityas
- Headquarters
- TX
- Founded
- 2020
- FDD year
- 2025
- States available
- 17
FDD Item 7 · 2025 filing · 44 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $30K | $30K | |
| Lease Deposits & Rent | $4K | $9K | |
| Architect; Engineer; Drawings | $8K | $15K | |
| Permits | $2K | $3K | |
| Interior Improvements, General Contractor; Electrical; Millwork; Tile, Plumbing, HVAC | $180K | $234K | |
| Signage Package | $8K | $12K | |
| Smallwares; Furniture; Interior Graphics; Fixtures; Digital Menu Boards; Equipment | $28K | $45K | |
| POS System | $5K | $8K | |
| Soft Serve Machines | $60K | $120K | |
| Inventory; Uniforms | $5K | $6K | |
| Pre-opening training expenses | $3K | $7K | |
| New Store Marketing Plan Fee | $5K | $5K | |
| Insurance - Liability & Workers compensation (initial deposit) | $1K | $2K | |
| Professional Fees | $2K | $6K | |
| Additional Funds (3 months) | $10K | $20K | |
| Initial Franchise Fee (Non-Traditional Store) | $15K | $15K | |
| Lease Deposits & Rent (Non-Traditional Store) | $4K | $9K | |
| Architect; Engineer; Drawings (Non-Traditional Store) | $8K | $15K | |
| Permits (Non-Traditional Store) | $2K | $3K | |
| Interior Improvements, General Contractor; Electrical; Millwork; Tile, Plumbing, HVAC (Non-Traditional Store) | $70K | $180K | |
| Total initial investment | $929K | $1.5M |
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
$52K
10.0% margin
Unlevered ROIC
11%
EBITDA / total invested capital
Payback
8.7 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $349K – $522K
- Better than avg vs category
- Liquid capital req'd
- $10K – $20K
- Better than avg vs category
- Franchise fee
- $15K – $35K
- Better than avg vs category
- Royalty
- 5.0%
- Gross Revenue · typical 6–8%
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $2K |
| Transfer fee | $10K |
| Renewal fee | $8K |
| Inventory (initial) | $5K – $6K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $516K
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- gross_sales
- Sample size
- 57 units
- vs category median 13 · large
- Range (low → high)
- $53K→$980K
- Cohort dispersion (min → max)
- Quartile band
- $210K→$707K
- Bottom 25% → top 25%
- Transparency tier
- limited
- Categorical assessment of disclosure depth
- Transparency
- 0 / 5
- vs category median 4 / 5 · below
Compared against 1264 Full-Service Restaurants brands
vs Full-Service Restaurants averages
How Orange Leaf Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 61
- Opened
- 3
- Last reporting year
- Closed
- 3
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 4.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- -12.9%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 7
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 3
- Transfers (3yr)
- 5
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 30 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.
Top states by unit count · Item 20
- IOWA6
Available to sell in · Item 12
- Michigan
- Virginia
- Washington
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 37
- Loan volume
- $9.3M
- Median loan
- $250K
- 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
- 20
- Defaults
- 9
Vintage analysis
Orange Leaf charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Orange Leaf's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 14 states
- Startup risk premium and job creation velocity
- 4-year lending trend
Instant access. No subscription.
A 25.0% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
HIGH RISK: Franchisor has SEC fraud history, going concern doubts, refuses to disclose financials, operates a stagnant 61-unit system, and extracted permanent securities law injunction against its leader.
Litigation (Item 3)
1 case reference(s): 0 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · A&G LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 99 / 100 rating
- 01HIGHFounder/key executive (Sherif Mityas) has SEC securities fraud judgment from 2010 with permanent injunction — indicates financial misrepresentation risk
- 02HIGHGoing Concern status is FALSE — suggests parent company or franchisor has material doubt about ability to continue operations
- 03MEDNo average revenue or net income disclosed in FDD — inability/unwillingness to provide Item 19 financial performance representation is major red flag
- 04MEDOnly 61 units with unknown growth trajectory — small and potentially contracting system with no disclosed unit growth data
- 05MEDHigh total investment ($349k-$521.5k) combined with 5% royalty on undisclosed revenue creates cash flow uncertainty
- 06MINOR10-year term locks franchisee into relationship with franchisor of questionable financial stability
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 | 2 |
| Territory type | Radius or geographic area |
| Protected territory | Yes |
| 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 | 1 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 1 |
View Item 3 litigation summary
1 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 12 hrs
- On-the-job training
- 36 hrs
- Site selection
- franchisor
- Franchisor financing
- Offered
- Item 10
- POS system
- Revel
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revel
Item 20 · call current owners
Franchisee Contacts
74 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
ORANGE LEAF · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ORANGE LEAF franchise?
The total investment to open a ORANGE LEAF franchise ranges from $349K – $522K, 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 ORANGE LEAF franchise owners earn?
According to Item 19 of the ORANGE LEAF FDD, the average gross sales per unit is $516K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is ORANGE LEAF's franchise failure rate?
Based on SBA 7(a) loan data, ORANGE LEAF has a charge-off rate of 25.0% across 37 loans, meaning 25.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many ORANGE LEAF franchise locations are there?
As of their most recent FDD filing, ORANGE LEAF has 61 total units in the United States, including 70 franchised units and 0 company-owned units. 3 new units were opened in the latest reporting year.
Is ORANGE LEAF a good franchise to buy?
FranchiseVerdict rates ORANGE LEAF as a F-grade franchise with a risk score of 99 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.