FranchiseVerdict
Samurai Sam’s Teriyaki Grill logo
FV-02227·CAUTIONExcellent91

Samurai Sam’s Teriyaki Grill

Food & Beverage - Quick ServiceFranchising since 1995Website
Investment
$113K – $623K
16th pct Quick Service
Avg revenue
$454K
6th pct Quick Service
Royalty
Units
12
33rd pct Quick Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $113K – $623K including a $30K franchise fee.
  • Average unit revenue of $454K/year (median $423K).
  • Rated CAUTION with a risk score of 75/100. SBA loan default rate of 0.0% across 1 loans (below the industry average).
  • 20 litigation matters disclosed in Item 3 — higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Kahala Franchising, L.L.C.
Parent company
MTY Food Group, Inc.
Incorporated in
Arizona
HQ
9311 E. Via De Ventura, Scottsdale, Arizona 85258
Auditor
PricewaterhouseCoopers LLP
Audited financials
Franchisor revenue
$597.5M
vs $606.6M 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 Samurai Sam’s Teriyaki Grill unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $453,788
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: qsr
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $113K–$623K
Working capital
$
FDD reports $5K–$20K

Unlevered ROIC · per unit

14%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$54K
EBITDA margin
12.0%
Total invested
$380K
Payback
84 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 Samurai Sam’s Teriyaki Grill units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$454K

on $2.3M purchase

Total debt

$1.8M

SBA $1.1M + senior + seller note

Overview

About

Franchisees operate fast-casual teriyaki grill restaurants serving Asian cuisine with customizable bowls and proteins. Day-to-day operations involve food preparation, inventory management, staff supervision, customer service, and point-of-sale management in a limited-service restaurant format. Franchisees are responsible for local marketing, hiring/training, and achieving weekly sales targets to meet minimum royalty obligations.

CEO
Eric Lefebvre
Founded
2008
FDD year
2025
States available
4

Item 7 · what it costs

The Vitals

Total investment
$113K – $623K
All-in to open one unit
Liquid capital
$5K – $20K
Cash you must have on hand
Franchise fee
$30K
Royalty
Greater of 6% of total weekly Gross Sales or $300 per week
Ad fund
4.0%
typical 3–5%
Total fee load
10.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$454K
Per unit, per year
Median gross sales
$423K
Item 19 type
Gross Sales
Sample size
12 units
vs category median 37 · small
Transparency
4 / 5
vs category median 4 / 5 · typical
Revenue rank6th
vs Food & Beverage - Quick Service peers
Investment cost rank16th
Lower investment ranks lower (better)
Royalty rate rank84th
Lower royalty = lower percentile (better)
Unit count rank33th
vs Food & Beverage - Quick Service peers
Risk score rank91th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
12
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
+0.0%
Net unit change last year
3-yr CAGR
-7.7%
Compounded over last 3 years
2023
12±0
Franchised units
2024
12
Franchised units
2025
13
Franchised units

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

Item 20 · 6 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 · 6 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
1
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

75
Risk · 0-100
CAUTION75 / 100

Samurai Sam's presents extreme risk due to going concern status, microscopic 12-unit system, extensive litigation history, missing financial disclosures, and regulatory violations across multiple states.

Score breakdown · what drove the 75 / 100 rating

  1. 01HIGHGoing Concern status is FALSE — indicates potential financial distress or viability questions at corporate level
  2. 02MINOROnly 12 units system-wide with unknown/likely stagnant growth — suggests failed expansion and weak brand momentum
  3. 03HIGHMultiple litigation cases involving breach of contract, misrepresentation, and state franchise act violations in MD, NY, VA — pattern of compliance and disclosure failures
  4. 04MEDNet Income not disclosed in Item 19 — prevents ROI analysis and suggests poor unit economics or unwillingness to disclose
  5. 05MINORNo protected territory — direct competition from other franchisees and company-owned locations creates cannibalization risk
  6. 06MINORRoyalty floor of $300/week ($15,600 annually) is punitive for underperforming locations and creates cash flow pressure
  7. 07MINORHigh investment range ($112k-$623k) with opaque profitability — risk-reward misaligned
  8. 08MINORState administrative actions indicate systemic disclosure and registration violations — red flag for franchisor integrity

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
20
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
Optional
Governing law
Arizona

Item 11

Training & Operations

Classroom training
40 hrs
On-the-job training
40 hrs

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

6 numbers

Locked
(701) 328-••••
ND
(217) 782-••••
IL
(401) 462-••••
RI

One-time purchase · CSV download · Validation questions included

FDD download

Samurai Sam’s Teriyaki Grill · FDD (2025) PDF

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