Rise Biscuits and DonutsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Rise Biscuits and Donuts franchise requires a total initial investment of $668K – $883K, including a $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2025 FDD, average unit revenue was $859K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $668K – $883K
- 38th pct Service Resta…
- Avg gross sales
- $859K
- 7th pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 25
- 30th pct Service Resta…
- SBA default
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-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
The system grew 27% year-over-year. Fast growth means demand, but can strain support.
Bottom line
- Total investment $668K – $883K including a $35K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $859K/year (median $794K), with an estimated 11% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 34/100.
- 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
- Legal entity
- Rise Franchising, LLC
- Parent company
- Rise Holdings LLC
- Incorporated in
- NC
- HQ
- PO Box 51593, Durham, NC 27717
- Auditor
- DNJ & ASSOCIATES
- Audited financials
- Franchisor revenue
- $1.3M
- vs $1.6M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
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.
- Headquarters
- NC
- Founded
- 2014
- FDD year
- 2025
- States available
- 8
FDD Item 7 · 2025 filing · 18 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $35K | $35K | |
| Lease Deposit | $15K | $25K | |
| Utilitiesnot refundable | $2K | $3K | |
| Construction, Leasehold Improvements, Furniture and Fixturesnot refundable | $275K | $350K | |
| Signage, Interior Store Graphics, Grand Opening Kitnot refundable | $7K | $15K | |
| Equipmentnot refundable | $176K | $210K | |
| Electronic Equipment including the POS Systemnot refundable | $40K | $45K | |
| Business Licenses and Permitsnot refundable | $500 | $5K | |
| Professional Feesnot refundable | $3K | $8K | |
| Architect and Engineering Feesnot refundable | $23K | $27K | |
| Opening Inventorynot refundable | $10K | $15K | |
| Insurancenot refundable | $2K | $10K | |
| Training Expensesnot refundable | $8K | $15K | |
| On-Site Training Feenot refundable | $0 | $15K | |
| Grand Opening Advertisingnot refundable | $20K | $30K | |
| Printing, Stationery and Office Suppliesnot refundable | $2K | $4K | |
| Uniformsnot refundable | $750 | $2K | |
| Additional Funds - 3 Monthsnot refundable | $50K | $70K | |
| Total initial investment | $668K | $883K |
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
$86K
10.0% margin
Unlevered ROIC
10%
EBITDA / total invested capital
Payback
9.7 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $668K – $883K
- Better than avg vs category
- Liquid capital req'd
- $50K – $70K
- Better than avg vs category
- Franchise fee
- $35K – $35K
- Better than avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
- Payback period
- 8.7 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $0 |
| Training fee | $15K |
| Transfer fee | $8K |
| Renewal fee | $5K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $859K
- Per unit, per year
- Median gross sales
- $794K
- Avg p&l bottom line
- $89K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 11.4%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- gross_sales
- Sample size
- 16 units
- vs category median 13
- Range (low → high)
- $429K→$1.4M
- Cohort dispersion (min → max)
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 1264 Full-Service Restaurants brands
vs Full-Service Restaurants averages
How Rise Biscuits and Donuts Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 25
- Opened
- 4
- 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
- 0.0%
- Company-owned
- 6
- Corporate units in the system
- % franchised
- 76%
- vs corporate-owned
- Net growth (yr3)
- +26.7%
- Net unit change last year
- 3-yr CAGR
- +35.7%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 2
- Franchisor's next-year forecast
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 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 5 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 5
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
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.
Litigation (Item 3)
Item 3 (Litigation) section not provided in documents
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · DNJ & ASSOCIATES
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- 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 34 / 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
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | North Carolina |
| Litigation count | 0 |
View Item 3 litigation summary
Item 3 (Litigation) section not provided in documents
Items 10, 11
Training & Operations
- Classroom training
- 9 hrs
- On-the-job training
- 54 hrs
- Training location
- Durham, NC
- Field support
- 54 hrs/yr
- On-site visits per year
- POS system
- Revel POS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revel POS
Item 20 · call current owners
Franchisee Contacts
24 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Rise Biscuits and Donuts · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Rise Biscuits and Donuts franchise?
The total investment to open a Rise Biscuits and Donuts franchise ranges from $668K – $883K, 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 Rise Biscuits and Donuts franchise owners earn?
According to Item 19 of the Rise Biscuits and Donuts FDD, the average gross sales per unit is $859K. The median is $794K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Rise Biscuits and Donuts's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Rise Biscuits and Donuts (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 Rise Biscuits and Donuts franchise locations are there?
As of their most recent FDD filing, Rise Biscuits and Donuts has 25 total units in the United States, including 14 franchised units and 6 company-owned units. 4 new units were opened in the latest reporting year.
Is Rise Biscuits and Donuts a good franchise to buy?
FranchiseVerdict rates Rise Biscuits and Donuts as a A-grade franchise with a risk score of 34 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.