FranchiseVerdict
Perko’s Café Grill logo
FV-01922·CAUTIONExcellent81

Perko’s Café Grill

Food & Beverage - Full ServiceFranchising since 2016Website
Investment
$384K – $1.5M
52nd pct Full Service
Avg revenue
57th pct Full Service
Royalty
6.0%
54th pct Full Service
Units
6
29th pct Full Service
SBA default

Bottom line

  • Total investment $384K – $1.5M including a $35K franchise fee, 6.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 72/100.
  • 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
Heritage Restaurant Brands, LP
Parent company
Heritage Restaurant Brands, LLC (General Partner)
Incorporated in
California
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

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Perko’s Café Grill unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $384K–$1.5M
Working capital
$
FDD reports $50K–$100K

Unlevered ROIC · per unit

12%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$128K
EBITDA margin
17.0%
Total invested
$1.0M
Payback
97 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate casual dining café and grill locations serving breakfast, lunch, and dinner to local customers. Day-to-day responsibilities include staff management, food preparation oversight, inventory control, customer service, and compliance with operating procedures set by the franchisor.

CEO
Gregory Graber
Founded
2016
FDD year
2026
States available
1

Item 7 · what it costs

The Vitals

Total investment
$384K – $1.5M
All-in to open one unit
Liquid capital
$50K – $100K
Cash you must have on hand
Franchise fee
$35K
Royalty
6.0%
Gross Volume · typical 6–8%
Ad fund
0.0%
typical 3–5%
Total fee load
6.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
6
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
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
-14.3%
Compounded over last 3 years
2024
6±0
Franchised units
2025
6
Franchised units
2026
7
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 16 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 16 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

72
Risk · 0-100
CAUTION72 / 100

Micro-franchise system with going concern issues, active labor litigation, zero financial transparency, and inadequate scale to support franchisees.

Score breakdown · what drove the 72 / 100 rating

  1. 01MEDOnly 6 units system-wide indicates minimal scale, limited support infrastructure, and high failure risk
  2. 02HIGHGoing Concern = False signals potential insolvency or serious financial distress at franchisor level
  3. 03HIGHActive litigation (Chavez vs. Heritage Restaurant Brands) alleging California labor code violations creates legal liability and regulatory exposure
  4. 04MEDNo disclosed average revenue or net income (missing Item 19) prevents realistic ROI analysis and suggests poor unit economics
  5. 05MINORWide investment range ($383.7K–$1.52M) with no transparency on what drives 300%+ variance
  6. 06MINOR6% royalty on gross revenue (not net) is aggressive for a micro-franchise with minimal brand recognition
  7. 07MINOROnly 6 units makes territorial protection meaningless and raises sustainability questions

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Zip Codes
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
1
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
California

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
246 hrs

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

17 numbers

Locked
(860) 240-••••
CT
(605) 773-••••
SD
(651) 539-••••
MN

One-time purchase · CSV download · Validation questions included

FDD download

Perko’s Café Grill · FDD (2026) PDF

Single-page checkout · instant download · CSV export of contacts available separately above