WagbarFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Wagbar franchise requires a total initial investment of $472K – $1.1M, including a $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2024 FDD, average unit revenue was $412K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $472K – $1.1M
- 31st pct Service Resta…
- Avg gross sales
- $412K
- 1st pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 1
- 2nd 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
At 0.5x revenue per dollar invested, this system underperforms the typical 1.5-2.5x range.
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $472K – $1.1M including a $35K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $412K/year, with an estimated 11% cash-on-cash return.
- Verdict A (Top Quintile) with a risk score of 52/100.
- Revenue data based on only 1 reporting unit. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Wagbar Franchising, LLC
- CEO title
- Chief Executive Officer
- Kendal Kulp
- CEO experience
- 5 yrs
- Years in role or industry
- Incorporated in
- NC
- HQ
- 34 Magnolia Avenue, Asheville, NC 28801
- Auditor
- Metwally CPA PLLC
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
Overview
About
Wagbar franchisees operate a full-service casual dining establishment serving wagyu beef-focused entrees, sides, and beverages. Day-to-day operations include inventory management, food preparation, table service, kitchen supervision, staffing, and local marketing to drive customer traffic and repeat business.
- CEO
- Kendal Kulp
- Headquarters
- NC
- Founded
- 2023
- FDD year
- 2024
- States available
- 1
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $30K | $75K |
| Equipment, build-out, other | $407K | $1.0M |
| Total initial investment | $472K | $1.1M |
Source: Wagbar 2024 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$45K
11.0% margin
Unlevered ROIC
5%
EBITDA / total invested capital
Payback
19.0 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $472K – $1.1M
- Better than avg vs category
- Liquid capital req'd
- $30K – $75K
- Better than avg vs category
- Franchise fee
- $35K – $50K
- Better than avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
- Payback period
- 8.8 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Training fee | $600 |
| Transfer fee | $10K |
| Total fee load | 7.0% of rev |
Financial Performance
- Avg gross sales
- $412K
- Per unit, per year
- Median gross sales
- N/A
- Avg net income
- $92K
- Cash-on-cash
- 11.4%
- Based on Net Income / investment midpoint
- Item 19 type
- Historic P&L of affiliate outlet
- Sample size
- 1 units
- vs category median 13 · small
- Range (low → high)
- $393K→$431K
- Cohort dispersion (min → max)
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 1264 Full-Service Restaurants brands
Revenue is only 0.5x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Full-Service Restaurants averages
How Wagbar Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 0
- Last reporting year
- Closed
- 0
- 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
- 1
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 1
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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
Single-unit system with unverified financial claims, going concern warning, and investment costs that may take 5+ years to recoup — extreme difficulty assessing franchise viability.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Metwally CPA PLLC
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 52 / 100 rating
- 01MEDOnly 1 unit disclosed — impossible to validate system viability or growth trajectory; suggests either new system or severe contraction
- 02HIGHGoing Concern status FALSE — franchisor may have financial instability or operational risk that undermines support
- 03MINORHigh investment-to-revenue ratio: $472k-$1.1M required but average unit generates only $410k revenue (potential 15-year payback period)
- 04MINORWide investment range ($675k spread) indicates unclear cost structure and difficulty predicting actual franchise costs
- 05MINORNo Item 19 financial performance data publicly available — cannot independently verify the $92k net income claim
- 06MINORModest 22.5% net margin ($92k net on $410k revenue) leaves thin margin for error, debt service, and franchisor royalties
- 07MINOR6% royalty on adjusted gross sales is standard but compounds profitability pressure given narrow margins
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 | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Population-based radius |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 5 mi |
| Territory population | 100,000 |
| Online sales rights | 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 |
| Mandatory arbitration | Yes |
| Arbitration location | Asheville, North Carolina |
| Jury trial waiver | Yes |
| Governing law | North Carolina |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 17 hrs
- On-the-job training
- 22 hrs
- Training location
- On-site and classroom
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- POS system
- Square
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Square
Item 20 · call current owners
Franchisee Contacts
16 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Wagbar · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Wagbar franchise?
The total investment to open a Wagbar franchise ranges from $472K – $1.1M, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Wagbar franchise owners earn?
According to Item 19 of the Wagbar FDD, the average gross sales per unit is $412K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Wagbar's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Wagbar (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 Wagbar franchise locations are there?
As of their most recent FDD filing, Wagbar has 1 total units in the United States, including 0 franchised units and 1 company-owned units.
Is Wagbar a good franchise to buy?
FranchiseVerdict rates Wagbar as a A-grade franchise with a risk score of 52 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.