FranchiseVerdict
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FV-02873·MODERATEExcellent81

Valhallan

Education - Tutoring & Test PrepFranchising since 2022Website
Investment
$83K – $330K
35th pct Tutoring & Te…
Avg revenue
55th pct Tutoring & Te…
Royalty
Units
9
35th pct Tutoring & Te…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $83K – $330K including a $39K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 64/100. SBA loan default rate of 0.0% across 22 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Valhallan, LLC
Parent company
Valhallan Holdings, LLC
Incorporated in
Texas
HQ
2880 Broadway Bend Drive, Building #1, Pearland, Texas 77584
Auditor
SST Accountants & Consultants PLLC
Audited financials
Franchisor revenue
$36K
vs $379K prior year

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 Valhallan unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: education
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $83K–$330K
Working capital
$
FDD reports $10K–$40K

Unlevered ROIC · per unit

39%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$90K
EBITDA margin
12.0%
Total invested
$231K
Payback
31 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Valhallan franchisees operate [business model not publicly disclosed in provided data]. Day-to-day operations involve [specific duties unknown without franchise disclosure document]. Revenue generation depends on [customer acquisition model unknown].

CEO
David Graham
Founded
2021
FDD year
2024
States available
6

Item 7 · what it costs

The Vitals

Total investment
$83K – $330K
All-in to open one unit
Liquid capital
$10K – $40K
Cash you must have on hand
Franchise fee
$39K
Royalty
Greater of 7% of Net Sales or $500 per month
Ad fund
5.0%
typical 3–5%
Total fee load
12.0%
vs 9–13% typical

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

Total units
9
Opened
7
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
89%
vs corporate-owned
Net growth (yr3)
Outlier (see FDD)
Likely small-sample artifact
2022
8+8
Franchised units
2023
1
Franchised units
2024
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 20 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 20 states
Not registered

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.

Total loans
22
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

64
Risk · 0-100
MODERATE64 / 100

Valhallan is an extremely early-stage, hypergrowth franchise with opaque financials, going concern questions, and a royalty structure that may be unsustainable for underperforming units—treat as pre-revenue speculation rather than established business opportunity.

Score breakdown · what drove the 64 / 100 rating

  1. 01MINORExtreme unit growth (700% YoY) suggests either brand launch/manipulation or unsustainable expansion that may not be repeatable
  2. 02HIGHGoing Concern = False indicates potential financial distress or structural issues at franchisor level
  3. 03MINORZero financial disclosure (no Item 19 average revenues/net income) prevents ROI validation and suggests weak unit economics
  4. 04MINORRoyalty floor of $500/month ($6,000/year) creates break-even pressure on low-revenue units
  5. 05MINOROnly 9 total units with explosive growth pattern indicates immature system lacking stability and proven operational model
  6. 06MEDHigh initial investment range ($82,950–$329,850) combined with undisclosed profitability creates significant ROI uncertainty
  7. 07MINOR10-year term locks franchisee into relationship with unproven franchisor during critical growth phase

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Texas

Item 11

Training & Operations

Classroom training
60 hrs
On-the-job training
44 hrs
POS system
FranchiCzar
Operating tech stack

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

24 numbers

Locked
(410) 576-••••
MD
(808) 586-••••
HI
(860) 240-••••
CT

One-time purchase · CSV download · Validation questions included

FDD download

Valhallan · FDD (2024) PDF

Single-page checkout · instant download · CSV export of contacts available separately above