UgFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A UG franchise requires a total initial investment of $284K – $679K, including a $15K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $284K – $679K
- 17th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 0
- 0th pct Service Resta…
- SBA default
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2025. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $284K – $679K including a $15K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict D (Below Average) with a risk score of 75/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- UNI GREEN INC
- Parent company
- Lian Fa International Dining Business Corporation
- Predecessor
- businesses that offered
- Prior franchisor entity
- Incorporated in
- DE
- HQ
- 131 Continental Drive, Suite 301, Newark, Delaware 19713
- Auditor
- KAIZEN CPA PLLC
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
Affiliated brands
- might provide to you as disclosed in this FDD
Other brands the franchisor or its parent operates (Item 1).
Overview
About
UG franchisees operate [UNABLE TO DETERMINE—brand name/industry not provided]. Without clarity on the business model, franchisees' day-to-day operations cannot be accurately described. This lack of transparency is itself a critical red flag.
- CEO
- Kai Lung Cheng
- Headquarters
- DE
- Founded
- 2024
- FDD year
- 2025
- States available
- 0
FDD Item 7 · 2025 filing · 38 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Franchise Fee | $15K | $15K | |
| Technology Transfer Fee | $30K | $30K | |
| Store Pre-opening Fee | $12K | $12K | |
| Design | $3K | $3K | |
| Security Deposit | $10K | $10K | |
| Equipment Fee | $88K | $130K | |
| Utensils | $7K | $7K | |
| Inventory | $15K | $35K | |
| Related Personnel Cost for initial training | $2K | $4K | |
| Rent for the Tea Shop | $2K | $10K | |
| Rental for Warehouse | $0 | $5K | |
| Renovation | $55K | $300K | |
| Licenses, Permits, Fees and Deposit | $10K | $12K | |
| Point of Sale System | $4K | $5K | |
| Office Equipment & Supplies | $500 | $500 | |
| Uniforms | $1K | $2K | |
| Insurance | $5K | $15K | |
| Advertisement | $5K | $5K | |
| Additional Funds - 3 Months | $20K | $80K | |
| Area Development Fee | $100K | $100K | |
| Total initial investment | $1.1M | $2.7M |
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
- $284K – $679K
- Better than avg vs category
- Liquid capital req'd
- $20K – $80K
- Better than avg vs category
- Franchise fee
- $15K – $15K
- Better than avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $50 |
| Transfer fee | $10K |
| Renewal fee | $30K |
| Total fee load | 9.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Full-Service Restaurants averages
How Ug Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- Opened
- 0
- Last reporting year
- Closed
- 0
- Company-owned
- 0
- Corporate units in the system
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 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.
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.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
High-risk franchise with going concern warnings, zero disclosed units, no earnings data, and high capital requirements—likely pre-launch, failing, or unreliable.
Litigation (Item 3)
0 case reference(s): 3 pending, 0 settled.
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy Code required to be disclosed in this Item. No such proceedings are currently pending, and none have occurred within the 10-year period immediately before the issuance date of this FDD.
Audited financials (Item 21)
Yes · KAIZEN CPA PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 75 / 100 rating
- 01HIGHGoing Concern status indicates material uncertainty about franchisor's ability to continue operations
- 02HIGHZero disclosed franchise units with unknown growth trajectory suggests brand may be pre-revenue, collapsing, or fraudulent
- 03MINORNo average revenue or net income disclosure (Item 19) prevents ROI validation and suggests poor franchisee performance
- 04MEDHigh investment range ($283.5K–$679.2K) combined with undisclosed earnings creates severe financial risk exposure
- 05HIGH5-year term is relatively short; combined with going concern status raises renewal and long-term viability concerns
- 06MINORUnknown unit count indicates lack of transparency; franchisor may be hiding franchisee failures or system collapse
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius/Zip Code |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 3 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 8 hrs
- On-the-job training
- 85 hrs
- Training location
- On-site and corporate
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
10 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
UG · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a UG franchise?
The total investment to open a UG franchise ranges from $284K – $679K, with an initial franchise fee of $15K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do UG franchise owners earn?
UG does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is UG's franchise failure rate?
SBA 7(a) loan charge-off data is not available for UG (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.
Is UG a good franchise to buy?
FranchiseVerdict rates UG as a D-grade franchise with a risk score of 75 out of 100, 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
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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.