Bottom line
- Total investment $616K – $1.0M including a $25K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated STRONG with a risk score of 54/100. SBA loan default rate of 0.0% across 59 loans (below the industry average).
- System growing at 225.0% CAGR over 3 years with 36 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 Summer Moon unit return on the cash you put in?
Unlevered ROIC · per unit
10%
Below typical band (30–60%)
Overview
About
Summer Moon franchisees operate specialty coffee retail locations, likely focused on iced coffee drinks and seasonal beverages. Day-to-day operations include customer service, beverage preparation, inventory management, staffing, and local marketing within their protected territory.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 11 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
Early-stage franchise with explosive unit growth but opaque financials, franchisor going concern issues, and no Item 19 data to validate investment ROI.
Score breakdown · what drove the 54 / 100 rating
- 01MINORNo Item 19 financial disclosure (avg revenue/net income not provided) — impossible to validate ROI claims
- 02HIGHGoing Concern status is False, indicating potential financial instability at franchisor level
- 03MINORExtremely high unit growth (73.3% YoY) suggests either aggressive recruitment or system instability; unsustainable growth can precede contraction
- 04MEDInvestment range of $616k-$1.04M is substantial with no disclosed profitability benchmarks to justify the cost
- 05MEDOnly 36 total units is a very small system with limited track record and operational data
- 06MED6% royalty on undisclosed revenue makes it difficult to model actual franchisee cash flow
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
24 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Summer Moon · FDD (2024) PDF