Perko’s Café Grill Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Perko's Café Grill is a family restaurant franchise serving breakfast, lunch, and dinner comfort food. Franchisees run the restaurants, managing the kitchen, table service, and staffing.
FranchiseVerdict summary · 2026
A Perko’s Café Grill franchise requires a total initial investment of $384K – $1.5M, including a $35K franchise fee and an ongoing 6.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $384K – $1.5M
- 18th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 24th pct Service Resta…
- Units
- 6
- 9th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Full-Service Restaurants avg · 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 $384K – $1.5M including a $35K franchise fee, 6.0% ongoing royalty.
- RETURNSFY2025 total operating revenue: royalty fees 2,290,500; rebates 1,111,923; administrative fees 594,655; sponsorship fees 125,352; initial franchise fees 188,735. Net income of 2,046,114 driven by a 2,027,682 gain on disposal of assets (sale of Cool Hand Luke's brand). other_revenue reflects total other income (expense) of 1,934,952 (gain on disposal 2,027,682 less interest expense 92,730). Entity reports partners' deficit (negative net worth) of -1,159,719.
- RISKVerdict B (Above average), verdict score 48/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- Heritage Restaurant Brands, LP
- Parent company
- Heritage Restaurant Brands, LLC (General Partner)
- Ultimate parent
- Brooks Restaurant Group, Inc.
- Predecessor
- BRG Franchising, Inc. (formerly Dynaco Franchising, Inc.)
- Prior franchisor entity
- CEO title
- Founder & Chief Executive Officer
- Gregory Graber
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- CA
- HQ
- 810 Fiero Lane, Suite 100, San Luis Obispo, CA 93401
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $4.3M
- vs $4.5M prior year
Overview
About
- CEO
- Gregory Graber
- Headquarters
- CA
- Founded
- 2016
- FDD year
- 2026
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 18% below the typical full-service restaurants franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown13 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $35K | $35K | |
| Training Expenses | $15K | $25K | |
| Lease & Utilities Deposits | $18K | $20K | |
| Leasehold Improvements, Construction and/or Remodeling | $75K | $750K | |
| Furniture, Fixtures and Equipment | $50K | $350K | |
| Signage | $10K | $40K | |
| Business Licenses and Permits | $15K | $17K | |
| POS/Computer System | $26K | $36K | |
| Initial Inventory | $40K | $50K | |
| Professional Fees | $40K | $80K | |
| Grand Opening Advertising | $5K | $10K | |
| Insurance | $5K | $10K | |
| Additional Funds - 3 months | $50K | $100K | |
| Total initial investment | $384K | $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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $384K – $1.5M
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $100K
- Top 40% of category vs category
- Franchise fee
- $35K – $35K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 0.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 0.0% of gross sales |
| Technology fee | $0 |
| Transfer fee | $25K |
| Renewal fee | $10K |
| Inventory (initial) | $40K – $50K |
| Total fee load | 6.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Perko’s Café Grill did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Perko’s Café Grill unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
9%
Below the 30–60% attractive-franchise band
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: 2026 FDD
Financial Performance
FY2025 total operating revenue: royalty fees 2,290,500; rebates 1,111,923; administrative fees 594,655; sponsorship fees 125,352; initial franchise fees 188,735. Net income of 2,046,114 driven by a 2,027,682 gain on disposal of assets (sale of Cool Hand Luke's brand). other_revenue reflects total other income (expense) of 1,934,952 (gain on disposal 2,027,682 less interest expense 92,730). Entity reports partners' deficit (negative net worth) of -1,159,719.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 6.0% — below the Full-Service Restaurants average of 7.6%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
Net unit growth roughly flat at 0.0%.
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 Full-Service Restaurants averages
How Perko’s Café Grill Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 6
- 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
- 16.7%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 0
- Franchisor's next-year forecast
- Continuity rate
- 100.0%
- Units that stayed open
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
states with franchisees (per FDD Item 12)
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
Micro-franchise system with going concern issues, active labor litigation, zero financial transparency, and inadequate scale to support franchisees.
Litigation (Item 3)
Chavez vs. Heritage Restaurant Brands, LLC (General Partner), Case No. CV-26-000807, Superior Court of California, Stanislaus County: filed January 27, 2026 alleging violations of the California labor code related to a former corporate Cool Hand Luke's outlet.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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 48 / 100 verdict
- 01MEDOnly 6 units system-wide indicates minimal scale, limited support infrastructure, and high failure risk
- 02HIGHGoing Concern = False signals potential insolvency or serious financial distress at franchisor level
- 03HIGHActive litigation (Chavez vs. Heritage Restaurant Brands) alleging California labor code violations creates legal liability and regulatory exposure
- 04MEDNo disclosed average revenue or net income (missing Item 19) prevents realistic ROI analysis and suggests poor unit economics
- 05MINORWide investment range ($383.7K–$1.52M) with no transparency on what drives 300%+ variance
- 06MINOR6% royalty on gross revenue (not net) is aggressive for a micro-franchise with minimal brand recognition
- 07MINOROnly 6 units makes territorial protection meaningless and raises sustainability questions
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · 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 |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 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 | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 5 days |
| Mandatory arbitration | Yes |
| Arbitration location | San Luis Obispo County, California |
| Jury trial waiver | No |
| Governing law | CA |
| Litigation count | 1 |
View Item 3 litigation summary
Chavez vs. Heritage Restaurant Brands, LLC (General Partner), Case No. CV-26-000807, Superior Court of California, Stanislaus County: filed January 27, 2026 alleging violations of the California labor code related to a former corporate Cool Hand Luke's outlet.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 246 hrs
- Training location
- Existing Perko's restaurant in San Luis Obispo, CA (affiliate-owned or franchised outlet)
- Ongoing training
- Required
- Field support
- 112 hrs/yr
- On-site visits per year
- Time to open
- 7 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor approves
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Perko’s Café Grill · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Perko’s Café Grill franchise?
The total investment to open a Perko’s Café Grill franchise ranges from $384K – $1.5M, 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 Perko’s Café Grill franchise owners earn?
Perko’s Café Grill 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 Item 19 in the Perko’s Café Grill 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 Perko’s Café Grill FDD and qualifies whose outlets they describe.
What is Perko’s Café Grill's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Perko’s Café Grill (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 Perko’s Café Grill franchise locations are there?
As of their most recent FDD filing, Perko’s Café Grill has 6 total units in the United States, including 6 franchised units and 0 company-owned units.
Is Perko’s Café Grill a good franchise to buy?
FranchiseVerdict rates Perko’s Café Grill as a B-grade franchise with a verdict score of 48 out of 100 (higher is better), 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
Are you the franchisor?
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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.