Bottom line
- Total investment $623K – $1.0M including a $40K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.3M/year (median $1.2M). Estimated payback in 3.6 years.
- Rated MODERATE with a risk score of 63/100. SBA loan default rate of 0.0% across 2 loans (below the industry average).
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 Timber Pizza unit return on the cash you put in?
Unlevered ROIC · per unit
17%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Timber Pizza units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.1M
on $5.4M purchase
Total debt
$4.3M
SBA $2.7M + senior + seller note
Overview
About
Franchisees operate quick-service or casual dining pizza restaurants under the Timber Pizza brand, managing daily kitchen operations, customer service, inventory, and staff. They handle food preparation, delivery logistics (if applicable), and local marketing while paying ongoing 6% royalty fees to the franchisor.
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 · 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).
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 pizza franchise with explosive growth claims, no audited financials disclosure, and insufficient operating history to validate profitability assertions.
Score breakdown · what drove the 63 / 100 rating
- 01HIGHNo Item 19 financial performance representations (Going Concern: False) limits ability to validate claimed $233K average net income
- 02MINORExtremely aggressive unit growth (75% YoY with only 8 units) suggests new franchise with unproven model and high churn risk
- 03MINORInvestment range requires $623K-$1.047M with only $40K franchise fee, indicating high capex/buildout costs with unclear ROI timeline
- 04MINOR6% royalty on $1.34M revenue = $80K+ annual fee, reducing net margin significantly if actual earnings differ from stated averages
- 05MINORMicroscopic franchisee base (8 units) makes performance claims statistically unreliable and creates concentration risk
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
18 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Timber Pizza · FDD (2026) PDF