Two Hands Corn Dogs
Bottom line
- Total investment $231K – $453K including a $35K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100. SBA loan default rate of 0.0% across 6 loans (below the industry average).
- System growing at 313.3% CAGR over 3 years with 69 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 Two Hands Corn Dogs unit return on the cash you put in?
Unlevered ROIC · per unit
32%
In Yale's "attractive" band (30–60%)
Overview
About
Franchisees operate quick-service corn dog restaurants, likely featuring fried corn dog products as core menu items. Day-to-day operations involve food preparation, customer service, inventory management, and point-of-sale transactions in small-to-medium format locations. Revenue model depends on foot traffic, average ticket price, and operational efficiency within 5% royalty structure.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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
Two Hands Corn Dogs presents HIGH RISK due to going concern uncertainty, regulatory violations, undisclosed financials, trademark litigation, and aggressive growth masking potential unit quality issues.
Score breakdown · what drove the 72 / 100 rating
- 01HIGHGoing concern status is FALSE — fundamental viability question about franchisor operations
- 02HIGHRegulatory violations in California: unregistered franchise sales and failure to disclose litigation demonstrates compliance failures and investor risk
- 03MEDNo disclosed average revenue or net income (Item 19) — impossible to evaluate unit economics or ROI
- 04HIGHTrademark misuse litigation ($45k settlement) suggests brand integrity and IP protection concerns
- 05MINORUnprotected territory creates direct competition risk from other franchisees or franchisor
- 06MINORHigh unit growth rate (55% YoY) is unsustainable and may indicate aggressive recruitment over franchisee success
- 07MINOR5-year term is relatively short with no renewal guarantees mentioned
- 08MINORAdministrative penalties totaling $40k indicate systemic disclosure and governance issues
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
85 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Two Hands Corn Dogs · FDD (2024) PDF