The Cocky Rooster
Bottom line
- Total investment $455K – $777K including a $50K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $1.7M/year. Estimated payback in 1.7 years.
- Rated CAUTION with a risk score of 70/100. SBA loan default rate of 0.0% across 2 loans (below the industry average).
- Emerging franchise — only 3 years of franchising with 2 units. Early-stage systems carry higher risk but may offer better territory availability.
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 Cocky Rooster unit return on the cash you put in?
Unlevered ROIC · per unit
42%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 The Cocky Rooster units return on equity?
Equity IRR · 5-yr
33.6%
4.26× MOIC
Year-1 DSCR
2.41×
EBITDA ÷ debt service
Equity required
$5.8M
on $15.5M purchase
Total debt
$9.6M
SBA $5.0M + senior + seller note
Overview
About
The Cocky Rooster appears to be a quick-service or casual restaurant concept focused on chicken-based offerings. Franchisees manage day-to-day operations including food preparation, customer service, inventory management, and compliance with brand standards while paying 5% royalties on gross sales.
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 · 6 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
The Cocky Rooster presents high risk due to a non-viable 2-unit system with going concern issues, unsubstantiated financial claims, and questionable franchisor stability despite attractive profit margins.
Score breakdown · what drove the 70 / 100 rating
- 01MINOROnly 2 franchised units reported with unknown growth trajectory suggests minimal system traction and expansion stagnation
- 02HIGHGoing Concern = False indicates franchisor may be experiencing financial distress or operational instability
- 03MINORHigh initial investment range ($455K-$777K) paired with only 2 units suggests inadequate franchise support infrastructure and unproven scalability
- 04MINORNo Item 19 financial performance representation provided — cannot validate the claimed $1.7M average revenue or $355K net income figures
- 05MINORExtreme disparity between claimed average net income ($355K) and franchise fee ($49.5K) appears unrealistic without substantiation
- 06MINORUnknown unit growth rate indicates franchisor is not transparently tracking or reporting expansion metrics
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
7 numbers
One-time purchase · CSV download · Validation questions included
FDD download
The Cocky Rooster · FDD (2025) PDF