Pizza InnFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Pizza Inn franchise requires a total initial investment of $30K – $1.4M, including a $30K franchise fee and an ongoing 5.0% royalty[2]. Per the 2024 FDD, average unit revenue was $1.4M[2]. SBA 7(a) loans show a 23.7% charge-off rate across 100 loans[1]. Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $30K – $1.4M
- 1st pct Service Resta…
- Avg gross sales
- $1.4M
- 45th pct Service Resta…
- Royalty
- 5.0%
- 13th pct Service Resta…
- Units
- 101
- 74th pct Service Resta…
- SBA default
- 23.7%
- 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
23.7% of SBA loans charged off across 100 loans, above the 16% franchise average.
Franchising since 1961. Systems this mature have refined operations and brand recognition.
Franchised units fell from 78 to 72 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $30K – $1.4M including a $30K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.4M/year (median $1.2M).
- Verdict B (Above Average) with a risk score of 55/100. SBA loan charge-off rate of 23.7% across 100 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System contracting at -15.1% 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
- Pizza Inn, Inc.
- Parent company
- Rave Restaurant Group, Inc.
- CEO title
- Chief Executive Officer and Director
- Brandon Solano
- Incorporated in
- MO
- HQ
- 3551 Plano Parkway, The Colony, Texas 75056
- Auditor
- Whitley Penn LLP
- Audited financials
- Franchisor revenue
- $11.9M
- vs $12.2M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Pizza Inn franchisees operate casual-service pizza restaurants, managing food preparation, customer service, delivery logistics, and point-of-sale operations. Daily operations include inventory management, staff scheduling, quality control of pizzas and sides, and local marketing to drive delivery and dine-in traffic in protected territories.
- CEO
- Brandon Solano
- Headquarters
- TX
- Founded
- 1958
- FDD year
- 2024
- States available
- 14
FDD Item 7 · 2024 filing · 10 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $0 | $30K | |
| Architectural Design Services | $0 | $50K | |
| Leasehold Improvements | $0 | $400K | |
| Fixtures, Equipment, Décor and Signage | $0 | $750K | |
| Smallwares | $0 | $30K | |
| Opening Inventory | $10K | $40K | |
| Other Pre-Opening Expenses | $0 | $20K | |
| Initial Training | $1K | $50K | |
| Register or Point of Sale System | $0 | $25K | |
| Additional Funds - 3 months | $0 | $50K | |
| Total initial investment | $11K | $1.4M |
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
$171K
12.0% margin
Unlevered ROIC
22%
EBITDA / total invested capital
Payback
4.5 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $30K – $1.4M
- Better than avg vs category
- Liquid capital req'd
- $0 – $50K
- Better than avg vs category
- Franchise fee
- $30K
- Better than avg vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 5.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 5.0% of gross sales |
| Transfer fee | $8K |
| Renewal fee | $25 |
| Total fee load | 10.0% of rev |
Financial Performance
- Avg gross sales
- $1.4M
- Per unit, per year
- Median gross sales
- $1.2M
- Item 19 type
- Net Annual Sales by Category
- Sample size
- 65 units
- vs category median 28 · large
- Range (low → high)
- $575K→$4.5M
- Cohort dispersion (min → max)
- Quartile band
- N/A→$2.4M
- Bottom 25% → top 25%
- Transparency
- 7 / 5
- vs category median 4 / 5 · above
Compared against 453 Quick-Service Restaurants brands
vs Quick-Service Restaurants averages
How Pizza Inn Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 101
- Opened
- 4
- Last reporting year
- Closed
- 3
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 3.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- -14.4%
- Net unit change last year
- 3-yr CAGR
- -15.1%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 4
- Projected new
- 8
- Franchisor's next-year forecast
- Transfer rate
- 4.8%
- Owners selling to other franchisees
- Ceased ops
- 3.6%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 14 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.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 100
- Loan volume
- $33.2M
- Median loan
- $163K
- 50th percentile
- Charge-off rate
- 23.7%
- 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)
- 75.7%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 51
- Defaults
- 18
Vintage analysis
Pizza Inn 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 Pizza Inn'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
- 26-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
A 23.7% 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
Pizza Inn presents HIGH RISK due to contracting unit base (-14.4% YoY), going concern status, razor-thin unit profitability (0.79% margin), and absence of Item 19 disclosures in a declining pizza segment.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Whitley Penn LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 55 / 100 rating
- 01MINORUnit count declining 14.4% year-over-year indicates system contraction and potential franchisee dissatisfaction
- 02HIGHGoing Concern flag = FALSE suggests financial viability questions at franchisor level
- 03MINORNet income margin of only 0.79% (11.2K on 1.43M revenue) is dangerously thin for pizza QSR and leaves no buffer for downturns
- 04MINORWide investment range ($11K-$1.45M) suggests inconsistent unit economics or undefined cost structure
- 05MINORNo Item 19 financial performance representations limits ability to validate franchisor claims about profitability
- 06MED20-year term is unusually long and locks franchisee into declining system with limited exit flexibility
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 | 20 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| 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 | 3 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 222 hrs
- Training location
- On-site and off-site
- Ongoing training
- Required
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
118 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Pizza Inn · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Pizza Inn franchise?
The total investment to open a Pizza Inn franchise ranges from $30K – $1.4M, 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 Pizza Inn franchise owners earn?
According to Item 19 of the Pizza Inn FDD, the average gross sales per unit is $1.4M. The median is $1.2M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Pizza Inn's franchise failure rate?
Based on SBA 7(a) loan data, Pizza Inn has a charge-off rate of 23.7% across 100 loans, meaning 23.7% 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 Pizza Inn franchise locations are there?
As of their most recent FDD filing, Pizza Inn has 101 total units in the United States, including 78 franchised units and 0 company-owned units. 4 new units were opened in the latest reporting year.
Is Pizza Inn a good franchise to buy?
FranchiseVerdict rates Pizza Inn as a B-grade franchise with a risk score of 55 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.