Twin Peaks Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Twin Peaks is a sports-bar-and-restaurant franchise serving scratch-made pub food, cold beer, and sports in a lodge-themed setting with themed service. Franchisees run large full-service restaurants managing kitchen, bar, and staff.
FranchiseVerdict summary · 2026
A Twin Peaks franchise requires a total initial investment of $3.0M – $7.6M, including a $50K franchise fee and an ongoing 5.0% royalty[2]. Per the 2025 FDD, average unit revenue was $5.6M[2]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $3.0M – $7.6M
- 39th pct Service Resta…
- Avg gross sales
- $5.6M
- 15th pct Service Resta…
- Royalty
- 5.0%
- 7th pct Service Resta…
- Units
- 108
- 32nd pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Full-Service Restaurants avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $3.0M – $7.6M including a $50K franchise fee, 5.0% ongoing royalty.
- RETURNSAverage unit revenue of $5.6M/year (median $5.5M).
- RISKVerdict A (Strongest tier), verdict score 73/100 (higher is better).
- GROWTHSystem growing at 21.3% CAGR over 3 years with 108 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Twin Restaurant Franchise, LLC
- Parent company
- Twin Hospitality I, LLC (direct parent)
- Ultimate parent
- FAT Brands Inc.
- Predecessor
- None disclosed
- Prior franchisor entity
- CEO title
- Interim Chief Executive Officer
- Kenneth J. Kuick
- Incorporated in
- Delaware
- HQ
- 5151 Beltline Road, #1200, Dallas, Texas 75254
- Auditor
- Macias Gini & O’Connell LLP
- Audited financials
- Franchisor revenue
- $35.3M
- vs $37.5M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Affiliated brands
- Twin Peaks Restaurant N Irving Beverage Holdings
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Kenneth J. Kuick
- Headquarters
- TX
- Founded
- 2007
- FDD year
- 2025
- States available
- 24
Can you afford it, and what does the money buy?
Entry cost runs 354% above the typical full-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $50K | $50K | |
| Leasehold Improvements and Deposits (Conversion Space) | $1.4M | $3.2M | |
| Leasehold Improvements and Deposits (New Construction Space) | $2.9M | $5.0M | |
| Equipment, Furniture, Fixtures, and Signage (Conversion Space) | $1.0M | $1.4M | |
| Equipment, Furniture, Fixtures, and Signage (New Construction Space) | $1.4M | $1.5M | |
| Liquor License | $1K | $300K | |
| Business Licenses and Permits | $3K | $4K | |
| Initial Training Costs | $50K | $65K | |
| Opening Training Team Costs | $220K | $240K | |
| Initial Inventory and Supplies | $60K | $140K | |
| Professional Services | $10K | $25K | |
| Restaurant Opening Promotion | $10K | $10K | |
| Insurance | $55K | $110K | |
| Additional Funds for Initial 3-Month Period | $100K | $190K | |
| Development Fee (Area Development Agreement) | $75K | $275K | |
| Total initial investment | $7.3M | $12.5M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $3.0M – $7.6M
- Top 40% of category vs category
- Liquid capital req'd
- $100K – $190K
- Top 40% of category vs category
- Franchise fee
- $50K – $50K
- Top 40% of category vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.5%
- typical 3–5%
- Total fee load
- 7.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 2.5% of gross sales |
| Training fee | $275 |
| Transfer fee | $13K |
| Renewal fee | $25K |
| Total fee load | 7.5% of rev |
What do units actually make?
Average unit sales run 221% above the full-service restaurants norm.
Source: FDD 2025 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$588K
10.5% margin
Unlevered ROIC
11%
EBITDA / total invested capital
Payback
9.3 yrs
cash-on-cash, unlevered
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one Twin Peaks unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
11%
Below the 30–60% attractive-franchise band
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 Twin Peaks units return on equity?
Equity IRR · 5-yr
29.8%
3.68× MOIC
Year-1 DSCR
2.71×
EBITDA ÷ debt service
Equity required
$8.7M
on $19.6M purchase
Total debt
$10.9M
SBA $5.0M + senior + seller note
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
- Avg gross sales
- $5.6M
- Per unit, per year
- Median gross sales
- $5.5M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Actual Average Unit Volume
- Sample size
- 69 outlets
- vs category median 18 · large
- Range (low → high)
- $2.3M→$11.8M
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 7 / 10
- vs category median 3 / 10 · above
Compared against 805 Full-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $5.6M/year in gross sales. Revenue-to-investment ratio: 1.1x.
Fee burden
Total ongoing fee load of 7.5% (near the Full-Service Restaurants average).
Disclosure
Transparency score 7/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 21.3% CAGR over 3 years across 108 units — operators are staying and new ones are joining.
Multi-unit rate
Only 6% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Full-Service Restaurants averages
How Twin Peaks Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 108
- Opened
- 5
- Last reporting year
- Closed
- 1
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 34
- Corporate units in the system
- % franchised
- 69%
- vs corporate-owned
- Multi-unit owners
- 6.2%
- Net growth (3-yr)
- +21.3%
- Net unit change over 3 years
- 3-yr CAGR
- +21.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 4
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 1
- Reacquired (3yr)
- 0
- Franchisor bought back
- Transfer rate
- 0.9%
- Owners selling to other franchisees
- Ceased ops
- 2.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 25 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- California
- Hawaii
- Illinois
- Indiana
- Maryland
- Michigan
- Minnesota
- New York
- North Dakota
- Rhode Island
- South Dakota
- Virginia
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Twin Peaks has one pending securities class action against parent FAT Brands (not the franchisor) plus two concluded affiliate regulatory settlements. Franchisor financials are strong: net worth $1.61M, net income $20.7M on $37.5M revenue, audited, Item 19 disclosed ($5.6M avg sales). Litigation is parent-level, one minor concern.
Litigation (Item 3)
One pending putative class action securities lawsuit (Mitchell Kates v. FAT Brands, Inc.) alleging false and misleading statements regarding government investigations. Two concluded Virginia state regulatory matters involving incorrect financial statements and unlicensed franchise sales.
Largest disclosed settlement: $5,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Macias Gini & O’Connell LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 73 / 100 verdict
- 01MINORPending securities class action vs. parent FAT Brands, not franchisor
- 02MINORStrong net income $20.7M on $37.5M revenue
- 03MINORNo bankruptcy/going-concern
- 04MEDItem 19 disclosed
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 15 years |
|---|---|
| Renewal term | 15 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 7 |
| Mandatory arbitration | Yes |
| Arbitration location | Texas |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 4 |
View Item 3 litigation summary
One pending putative class action securities lawsuit (Mitchell Kates v. FAT Brands, Inc.) alleging false and misleading statements regarding government investigations. Two concluded Virginia state regulatory matters involving incorrect financial statements and unlicensed franchise sales.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 520 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- POS system
- NCR Aloha
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: NCR Aloha
Item 20 · call current owners
Franchisee Contacts
80 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Twin Peaks · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Twin Peaks franchise?
The total investment to open a Twin Peaks franchise ranges from $3.0M – $7.6M, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Twin Peaks franchise owners earn?
According to Item 19 of the Twin Peaks FDD, the average gross sales per unit is $5.6M. The median is $5.5M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Twin Peaks FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Twin Peaks FDD and qualifies whose outlets they describe.
What is Twin Peaks's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Twin Peaks (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Twin Peaks franchise locations are there?
As of their most recent FDD filing, Twin Peaks has 108 total units in the United States, including 74 franchised units and 34 company-owned units. 5 new units were opened in the latest reporting year.
Is Twin Peaks a good franchise to buy?
FranchiseVerdict rates Twin Peaks as a A-grade franchise with a verdict score of 73 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.