Shabu All DayFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A SHABU ALL DAY franchise requires a total initial investment of $455K – $703K, including a $150K franchise fee and an ongoing 5.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $455K – $703K
- 30th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 0
- 0th 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
Started franchising in 2025. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $455K – $703K including a $150K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict F (Bottom Quintile) with a risk score of 80/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Myeong Ryun America, Inc.
- Parent company
- Myeong Ryun Dang Co., Ltd.
- Incorporated in
- CA
- HQ
- 3435 Wilshire Blvd., Ste 460, Los Angeles, CA 90010
- Auditor
- Dow & Sohn CPAs
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
Overview
About
SHABU ALL DAY franchisees operate Japanese hot pot restaurants where customers cook thinly-sliced meat, seafood, and vegetables in communal simmering broths at tableside. Day-to-day operations include managing prep of fresh ingredients, staffing service teams trained in hot pot dining protocols, managing inventory turnover on perishables, and ensuring table-side safety and equipment functionality.
- CEO
- Sung Ugk Jung
- Headquarters
- CA
- Founded
- 2024
- FDD year
- 2025
- States available
- 0
FDD Item 7 · 2025 filing · 12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $150K | $150K | |
| Real Estate Security/Deposits and Initial Rentnot refundable | $20K | $40K | |
| Construction and Leasehold Improvementsnot refundable | $150K | $250K | |
| Design and Architecturenot refundable | $12K | $20K | |
| Equipment, Furniture and Fixturesnot refundable | $35K | $75K | |
| Opening Inventorynot refundable | $15K | $35K | |
| Insurancenot refundable | $5K | $15K | |
| Opening Promotion and Grand Openingnot refundable | $5K | $10K | |
| Cash Registers/Other Office Equipmentnot refundable | $3K | $15K | |
| Initial Training Expensesnot refundable | $5K | $8K | |
| Business Licenses, Utility Deposits, Prepaid Feesnot refundable | $2K | $10K | |
| Additional Funds - 3 Monthsnot refundable | $55K | $75K | |
| Total initial investment | $457K | $703K |
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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $455K – $703K
- Better than avg vs category
- Liquid capital req'd
- $55K – $75K
- Near category avg vs category
- Franchise fee
- $150K – $150K
- Near category avg vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $250 |
| Training fee | $100 |
| Transfer fee | $50 |
| Renewal fee | $15K |
| Total fee load | 7.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Full-Service Restaurants averages
How Shabu All Day Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Company-owned
- 0
- Corporate units in the system
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 5 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
SHABU ALL DAY presents extreme risk due to going concern status, zero operating units, missing financial disclosures, and unprotected territory—avoid until franchisor demonstrates system stability and franchisee profitability.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Dow & Sohn CPAs
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 80 / 100 rating
- 01HIGHGoing concern warning indicates financial instability or operational distress at franchisor level
- 02MEDZero disclosed operating units suggests new/failed concept with no proven business model or franchisee success data
- 03MEDNo average revenue or net income disclosure (missing Item 19) prevents ROI validation and earnings verification
- 04MINORHigh initial investment ($455k-$702.5k) with no financial performance benchmarks creates unjustifiable risk
- 05MINORUnprotected territory eliminates competitive moat and allows franchisor to saturate market with nearby units
- 06MEDNo disclosed unit growth or system size raises questions about franchisee demand and brand viability
- 07MINOR5-year term is relatively short, limiting franchisee ability to recoup investment and build equity
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 | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory radius | 0.5 mi |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | California |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 33 hrs
- On-the-job training
- 54 hrs
- Training location
- franchisor facility and on-site
- Ongoing training
- Required
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
5 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
SHABU ALL DAY · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a SHABU ALL DAY franchise?
The total investment to open a SHABU ALL DAY franchise ranges from $455K – $703K, with an initial franchise fee of $150K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do SHABU ALL DAY franchise owners earn?
SHABU ALL DAY does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is SHABU ALL DAY's franchise failure rate?
SBA 7(a) loan charge-off data is not available for SHABU ALL DAY (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.
Is SHABU ALL DAY a good franchise to buy?
FranchiseVerdict rates SHABU ALL DAY as a F-grade franchise with a risk score of 80 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.
For franchisors
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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.