Pixiu Malahongtang
Bottom line
- Total investment $333K – $615K including a $40K franchise fee, 5.0% 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
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 Pixiu Malahongtang unit return on the cash you put in?
Unlevered ROIC · per unit
24%
Below typical band (30–60%)
Overview
About
Pixiu Malahongtang appears to be a beverage/tea franchise concept, likely offering specialty drinks (malahongtang suggests traditional Asian herbal/fruit drink formulations). Franchisees operate retail locations managing inventory, customer service, drink preparation, and local marketing within their protected territory.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 7 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 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
This is a pre-revenue-stage or financially distressed franchisor with a micro-system (4 units), no financial transparency, and concerning going-concern status that represents extreme investment risk.
Score breakdown · what drove the 72 / 100 rating
- 01HIGHGoing Concern status is FALSE — indicates potential financial distress or instability at franchisor level
- 02MINOROnly 4 units in system with 200% YoY growth is mathematically suspicious (likely grew from 1-2 units) — extremely small, unstable base
- 03MEDNo average revenue or net income disclosure (Item 19 missing) — cannot validate ROI claims or unit economics
- 04MEDHigh investment range ($333K-$615K) with undisclosed profitability creates severe risk asymmetry
- 05MEDNascent franchise system (4 units) means limited operational track record and high failure risk
- 06MINOR5% royalty on gross sales (not net) means franchisees pay even during unprofitable months
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
8 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Pixiu Malahongtang · FDD (2024) PDF