FranchiseVerdict
Shakey’s Pizza Parlor logo
FV-02295·CAUTIONExcellent86

Shakey’s Pizza Parlor

Food & Beverage - Full ServiceFranchising since 1958Website
Investment
$624K – $2.2M
75th pct Full Service
Avg revenue
57th pct Full Service
Royalty
5.0%
15th pct Full Service
Units
48
72nd pct Full Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $624K – $2.2M including a $35K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 69/100. SBA loan default rate of 0.0% across 10 loans (below the industry average).
  • System contracting at -400% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Shakey’s USA, Inc.
Parent company
The Jacmar Companies
Incorporated in
Delaware
HQ
2200 West Valley Boulevard, Alhambra, California 91803
Auditor
WithumSmith+Brown, PC
Audited financials
Franchisor revenue
$56.4M
vs $65.8M 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 Shakey’s Pizza Parlor unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
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: $624K–$2.2M
Working capital
$
FDD reports $20K–$50K

Unlevered ROIC · per unit

7%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$98K
EBITDA margin
13.0%
Total invested
$1.4M
Payback
178 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.

Overview

About

Shakey's Pizza Parlor franchisees operate casual pizza dining establishments, managing food preparation, customer service, delivery/carryout operations, and staff scheduling. Day-to-day responsibilities include inventory management, quality control, marketing execution, payroll administration, and P&L oversight within their protected territory.

CEO
Rebecca M. Snyder
Founded
2004
FDD year
2023
States available
2

Item 7 · what it costs

The Vitals

Total investment
$624K – $2.2M
All-in to open one unit
Liquid capital
$20K – $50K
Cash you must have on hand
Franchise fee
$35K
Royalty
5.0%
Gross Sales · typical 6–8%
Ad fund
5.0%
typical 3–5%
Total fee load
10.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
48
Opened
0
Last reporting year
Closed
1
Turnover rate
2.1%
Company-owned
24
Corporate units in the system
% franchised
50%
vs corporate-owned
Multi-unit owners
16.7%
Net growth (yr3)
-4.0%
Net unit change last year
3-yr CAGR
-4.0%
Compounded over last 3 years
2021
24-2
Franchised units
2022
25
Franchised units
2023
25
Franchised units

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

Item 12 · 2 states reported

The Territory Map

FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.

2

states with franchisees (per FDD Item 12)

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
10
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

69
Risk · 0-100
CAUTION69 / 100

Shakey's Pizza presents HIGH RISK due to contracting franchise system, unresolved labor/harassment litigation patterns, complete absence of financial transparency, and substantial capital requirements without disclosed performance metrics.

Score breakdown · what drove the 69 / 100 rating

  1. 01MINORNegative unit growth (-4.0% YoY) indicates declining system health and potential saturation or franchisee failure
  2. 02MINORFour concluded lawsuits including wage/hour violations and harassment allegations suggest systemic labor compliance and workplace culture issues
  3. 03MEDNo Item 19 financial disclosure (revenue and net income not disclosed) prevents validation of franchise economics and profitability claims
  4. 04MEDHigh investment range ($624K–$2.2M) combined with undisclosed returns creates significant capital-at-risk with no transparent ROI benchmarks
  5. 05MINORShrinking unit base (48 locations) reduces brand presence, purchasing power, and marketing leverage for franchisees
  6. 06MEDFive percent royalty on undisclosed gross sales means franchisees cannot assess true profit margins or breakeven requirements

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
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Granted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
3
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Non-compete
3 yrs
Post-termination restriction
Owner-operator
Required
Governing law
California

Item 11

Training & Operations

Classroom training
48 hrs
On-the-job training
182 hrs
POS system
CTUIT
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

19 numbers

Locked
(909) 988-••••
Lalji, Amir Ali
CA
(760) 952-••••
Matta, Mina Admina Armory Pizza, LLC
CA
(626) 918-••••
Ahmed, Nisar
CA

One-time purchase · CSV download · Validation questions included

FDD download

Shakey’s Pizza Parlor · FDD (2023) PDF

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