Silverlake Ramen
Bottom line
- Total investment $616K – $1.3M including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $2.0M/year (median $2.1M).
- Rated MODERATE with a risk score of 60/100. SBA loan default rate of 0.0% across 4 loans (below the industry average).
- System growing at 47.6% CAGR over 3 years with 34 total units — strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
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 SILVERLAKE RAMEN unit return on the cash you put in?
Unlevered ROIC · per unit
28%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 SILVERLAKE RAMEN units return on equity?
Equity IRR · 5-yr
30.9%
3.85× MOIC
Year-1 DSCR
2.61×
EBITDA ÷ debt service
Equity required
$7.6M
on $18.0M purchase
Total debt
$10.4M
SBA $5.0M + senior + seller note
Overview
About
Franchisees operate a ramen-focused quick-service restaurant serving noodle bowls, broths, and Asian cuisine. Daily operations include food preparation, inventory management, staff scheduling, POS operations, and customer service in a small-to-mid-sized format location.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 10 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 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Silverlake Ramen presents CAUTION-level risk due to non-disclosed net income, false going concern status, unprotected territories, recent fiduciary duty litigation, and high capital requirements relative to transparency.
Score breakdown · what drove the 60 / 100 rating
- 01HIGHGoing Concern status is FALSE — indicates potential financial instability or accounting irregularities at corporate level
- 02MINORNo Net Income disclosure — opacity around actual profitability despite $2M average revenue claim; unable to verify franchisee earnings
- 03MINORUnprotected territory — franchisees face direct competition from other Silverlake units with no geographic exclusivity
- 04HIGHRecent material litigation (2021-2023) involving franchisor breach of fiduciary duty allegations — suggests governance and relationship issues
- 05MEDHigh investment range ($615K-$1.3M) paired with undisclosed profitability creates unfavorable risk-reward profile
- 06MINOR19.2% YoY unit growth may mask underlying performance issues — growth without profitability disclosure is suspicious
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
36 numbers
One-time purchase · CSV download · Validation questions included
FDD download
SILVERLAKE RAMEN · FDD (2025) PDF