The Big Biscuit
Bottom line
- Total investment $1.1M – $1.7M including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.6M/year (median $1.6M). Estimated payback in 4.7 years.
- Rated STRONG with a risk score of 54/100.
- System growing at 7500% CAGR over 3 years with 28 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 The Big Biscuit unit return on the cash you put in?
Unlevered ROIC · per unit
19%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 The Big Biscuit units return on equity?
Equity IRR · 5-yr
32.5%
4.09× MOIC
Year-1 DSCR
2.48×
EBITDA ÷ debt service
Equity required
$6.4M
on $16.3M purchase
Total debt
$9.9M
SBA $5.0M + senior + seller note
Overview
About
The Big Biscuit franchisees operate quick-service or fast-casual restaurants specializing in scratch-made biscuits and biscuit-based meals (sandwiches, platters, sides). Day-to-day operations include food preparation, inventory management, customer service, and adherence to proprietary recipes and brand standards across a protected territory.
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 · 18 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage biscuit franchise with unverified financial claims, high capital requirements relative to reported profits, and limited unit growth trajectory requiring careful franchisee validation.
Score breakdown · what drove the 54 / 100 rating
- 01MEDNo Item 19 (Financial Performance Representations) disclosed — cannot verify if average $291,885 net income is typical or cherry-picked
- 02MINORHigh initial investment ($1.07M–$1.66M) with modest 17.8% net margin on average revenue raises ROI timeline concerns
- 03MEDModest unit growth (16.7% YoY) on small base (28 units) suggests early-stage system with limited proven scalability
- 04MINOR5% royalty on gross sales (not net) means franchisees pay during unprofitable periods
- 05HIGHGoing Concern status FALSE is ambiguous — unclear if this applies to franchisor or just indicates no going concern warning
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
21 numbers
One-time purchase · CSV download · Validation questions included
FDD download
The Big Biscuit · FDD (2025) PDF