FranchiseVerdict
Sushi Avenue logo
FV-02520·STRONGExcellent81

Sushi Avenue

Formerly known as Sonic Automotive

Food & Beverage - Full ServiceFranchising since 2023Website
Investment
$7K – $103K
0th pct Full Service
Avg revenue
57th pct Full Service
Royalty
0.0%
0th pct Full Service
Units
323
92nd pct Full Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $7K – $103K including a $20K franchise fee, 0.0% 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 179 loans (below the industry average).
  • 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
SAH Holdings, LLC
Parent company
Sushi Avenue, Incorporated
Incorporated in
Minnesota
HQ
895 Blue Gentian Rd., #6, Eagan, MN 55121
Auditor
Cavanaugh & Company, PLLC
Audited financials
Franchisor revenue
$3K
Most recent fiscal 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 Sushi Avenue 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: $7K–$103K
Working capital
$
FDD reports $5K–$25K

Unlevered ROIC · per unit

231%

Above typical band (30–60%)

0%30–60% Yale band80%
ROIC above 100% usually means the revenue figure is a system-wide aggregate or top-cohort number rather than a single-unit average. Verify the "Revenue · per unit" field against the brand's FDD Item 19 detail tables before relying on this output.

Store EBITDA · annual
$161K
EBITDA margin
21.5%
Total invested
$70K
Payback
5 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

Franchisees operate fast-casual or quick-service sushi restaurants, handling food preparation, inventory management, customer service, and daily P&L responsibility. Day-to-day operations typically include managing kitchen staff, maintaining food quality/safety standards, managing supplier relationships, and executing point-of-sale transactions in a compact format.

CEO
Nay Hla
Founded
2023
FDD year
2024
States available
21

Item 7 · what it costs

The Vitals

Total investment
$7K – $103K
All-in to open one unit
Liquid capital
$5K – $25K
Cash you must have on hand
Franchise fee
$20K
Royalty
0.0%
Percentage of Gross Sales · typical 6–8%
Ad fund
1.5%
typical 3–5%
Total fee load
1.5%
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
323
Opened
214
Last reporting year
Closed
38
Turnover rate
11.8%
Company-owned
109
Corporate units in the system
% franchised
66%
vs corporate-owned
2022
214-26
Franchised units
2023
0
Franchised units
2024
0
Franchised units

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

Item 20 · 16 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 · 16 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
179
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

54
Risk · 0-100
STRONG54 / 100

Sushi Avenue presents elevated risk due to undisclosed financials, franchisor litigation, unprotected territories, vague royalty structure, and unknown unit growth—making it difficult to assess true profitability and system health.

Score breakdown · what drove the 54 / 100 rating

  1. 01MINORNo financial performance disclosure (Item 19) — cannot verify claimed average revenue or profitability
  2. 02HIGHGoing Concern status is False, indicating potential financial instability at franchisor level
  3. 03HIGHActive litigation involving franchisor affiliate over contracts and insurance disputes suggests operational/legal friction
  4. 04MINORRoyalty rate range of 0-25% is unusually wide and vague — unclear what triggers escalation or how it's calculated
  5. 05MINORNo territorial protection — franchisees face direct competition from other Sushi Avenue units and franchisor
  6. 06MINORUnit count (323) with unknown growth trajectory — cannot assess system momentum or franchisee success rates
  7. 07MINORShort 3-year initial term limits franchisee security and commitment certainty
  8. 08MINORWide investment range ($6,600–$102,970) suggests inconsistent unit economics or unclear cost structure

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Specific Location
Protected territory
No
Initial term
3 years
Renewal term
3 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
4
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
Required
Governing law
Minnesota

Item 11

Training & Operations

Classroom training
24 hrs
On-the-job training
24 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

99 numbers

Locked
(816) 532-••••
MO
(505) 256-••••
NM
(916) 933-••••
CA

One-time purchase · CSV download · Validation questions included

FDD download

Sushi Avenue · FDD (2024) PDF

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