FranchiseVerdict
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FV-02212·STRONGExcellent91

Salata

Food & Beverage - Full ServiceFranchising since 2006Website
Investment
$286K – $1.2M
33rd pct Full Service
Avg revenue
$1.3M
28th pct Full Service
Royalty
5.0%
15th pct Full Service
Units
90
81st pct Full Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $286K – $1.2M including a $40K franchise fee, 5.0% ongoing royalty.
  • Average unit revenue of $1.3M/year (median $1.3M).
  • Rated STRONG with a risk score of 46/100. SBA loan default rate of 0.0% across 20 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Salata Franchise, LLC
Parent company
Salata Holding Company LLC
Incorporated in
Texas
HQ
16720 Park Row Drive, Houston, Texas 77084
Auditor
Seth & Associates CPAs, PLLC
Audited financials
Franchisor revenue
$6.2M
vs $7.1M 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 Salata unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $1,327,035
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: $286K–$1.2M
Working capital
$
FDD reports $15K–$30K

Unlevered ROIC · per unit

28%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$212K
EBITDA margin
16.0%
Total invested
$747K
Payback
42 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.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Salata units return on equity?

Edit assumptions

Equity IRR · 5-yr

40.8%

5.53× MOIC

Year-1 DSCR

2.09×

EBITDA ÷ debt service

Equity required

$3.4M

on $11.9M purchase

Total debt

$8.6M

SBA $5.0M + senior + seller note

SBA 7(a) request ($6.0M) exceeds the $5M program cap. Excess capped automatically; backfill via conventional or equity.

Overview

About

Salata franchisees operate fast-casual salad and grain bowl restaurants where customers customize fresh, health-focused meals. Day-to-day operations include managing inventory of fresh produce, staffing kitchen and counter positions, executing made-to-order service, and maintaining food safety standards typical of QSR environments.

CEO
Berge Simonian
Founded
2006
FDD year
2023
States available
5

Item 7 · what it costs

The Vitals

Total investment
$286K – $1.2M
All-in to open one unit
Liquid capital
$15K – $30K
Cash you must have on hand
Franchise fee
$40K
Royalty
5.0%
Percentage of Net Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
7.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$1.3M
Per unit, per year
Median gross sales
$1.3M
Item 19 type
Average Net Sales
Sample size
70 units
vs category median 15 · large
Range (low → high)
$451K$2.5M
Cohort dispersion
Transparency
7 / 5
vs category median 4 / 5 · above
Revenue rank28th
vs Food & Beverage - Full Service peers
Investment cost rank33th
Lower investment ranks lower (better)
Royalty rate rank15th
Lower royalty = lower percentile (better)
Unit count rank81th
vs Food & Beverage - Full Service peers
Risk score rank9th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
90
Opened
7
Last reporting year
Closed
1
Turnover rate
1.1%
Company-owned
9
Corporate units in the system
% franchised
90%
vs corporate-owned
Multi-unit owners
28.6%
Net growth (yr3)
+8.0%
Net unit change last year
3-yr CAGR
+14.1%
Compounded over last 3 years
2021
81+6
Franchised units
2022
75
Franchised units
2023
71
Franchised units

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

Item 20 · 3 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 · 3 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.

Total loans
20
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

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

Risk & Legal

46
Risk · 0-100
STRONG46 / 100

Salata presents moderate-to-cautionary risk due to lack of Item 19 profitability disclosure, wide investment variance, and sluggish unit growth, offsetting positive factors like no litigation and protected territory.

Score breakdown · what drove the 46 / 100 rating

  1. 01MEDNet Income not disclosed in FDD Item 19 — cannot assess actual profitability or ROI despite $1.3M average revenue
  2. 02MINORWide investment range ($285.5K–$1.16M) suggests high variability in unit economics and unclear cost structure
  3. 03MINORModest unit growth of 8.0% YoY in fast-casual segment indicates slower expansion than category peers
  4. 04MEDHigh royalty rate (5%) combined with undisclosed net income creates unclear path to franchisee profitability
  5. 05HIGHGoing Concern status is False but absence of Item 19 net income data prevents validation of financial sustainability

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Radius/Boundaries
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
0
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
Texas

Item 11

Training & Operations

Classroom training
64 hrs
On-the-job training
318 hrs
POS system
Toast
Operating tech stack

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

9 numbers

Locked
(469) 902-••••
Mark Robbins John and Ashley Barneby Pegasus Restaurant Group B.A.E. Spring Branch, LLC
TX
(713) 955-••••
Wayne P. Bunch, Jr., Esq. Fisher Broyles, LLP
TX
(844) 725-••••
Berge Simonian Salata Franchise, LLC

One-time purchase · CSV download · Validation questions included

FDD download

Salata · FDD (2023) PDF

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