Rise Biscuits and Donuts
Formerly known as Rise Southern Biscuits & Righteous Chicken
Bottom line
- Total investment $668K – $883K including a $35K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $859K/year (median $794K). Estimated payback in 8.7 years.
- Rated STRONG with a risk score of 52/100. SBA loan default rate of 0.0% across 5 loans (below the industry average).
- System growing at 35.7% CAGR over 3 years with 25 total units — strong expansion trajectory.
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 Rise Biscuits and Donuts unit return on the cash you put in?
Unlevered ROIC · per unit
15%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Rise Biscuits and Donuts units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.4M
on $6.9M purchase
Total debt
$5.5M
SBA $3.4M + senior + seller note
Overview
About
Rise Biscuits franchisees operate fast-casual bakery cafés serving fresh-baked biscuits, donuts, and coffee-based beverages. Day-to-day operations include early-morning dough preparation and baking, customer service during breakfast/lunch service windows, inventory management, staff scheduling/training, and local marketing.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Rise Biscuits presents moderate-to-cautious risk: unverified financial claims, thin margins, high capital needs, and small system size offset by growth trajectory and lack of litigation.
Score breakdown · what drove the 52 / 100 rating
- 01MEDNo Item 19 financial performance representation disclosed — cannot independently verify claimed average revenue of $859,058 or net income of $88,748
- 02MINORNet profit margin of only 10.3% is thin for QSR; after 6% royalty, landlord rent, and labor costs, actual franchisee take-home is concerning
- 03MINORHigh initial investment range ($667,850–$882,500) creates significant capital requirement with modest profit potential and extended 10-year payback horizon
- 04MINORRapid unit growth (26.7% YoY) raises sustainability questions — is growth driven by franchisee success or aggressive recruiting?
- 05MINORSmall system size (25 units) limits economies of scale, supply chain leverage, and brand recognition; higher failure risk in small systems
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
24 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Rise Biscuits and Donuts · FDD (2025) PDF