Bottom line
- Total investment $340K – $616K including a $30K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $767K/year.
- Rated STRONG with a risk score of 42/100. SBA loan default rate of 0.0% across 44 loans (below the industry average).
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
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 Wing Snob unit return on the cash you put in?
Unlevered ROIC · per unit
25%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Wing Snob units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.4M
on $6.9M purchase
Total debt
$5.5M
SBA $3.5M + senior + seller note
Overview
About
Wing Snob franchisees operate fast-casual wing restaurants focused on customized, high-quality chicken wings with proprietary sauces and sides. Day-to-day operations include food preparation, inventory management, counter service, and delivery fulfillment. Franchisees manage staff scheduling, vendor relationships, and local marketing while adhering to operational standards and reporting requirements.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 11 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
Growing QSR franchise with recent regulatory violation, undisclosed profitability metrics, and high entry costs relative to revenue—requires extensive current franchisee validation before investment.
Score breakdown · what drove the 42 / 100 rating
- 01MINORMichigan regulatory violation (Sept 2023) involving unregistered franchise sales over 20-month period—suggests compliance gaps and potential legal exposure for franchisees
- 02MEDNet income not disclosed in FDD Item 19—impossible to assess actual profitability despite $767k average revenue; cannot validate ROI claims
- 03MEDHigh initial investment ($340k-$615k) relative to disclosed average revenue ($767k) creates thin margin for error and slow payback period
- 04MINORRapid 21.9% YoY unit growth may indicate aggressive recruitment over operational stability; growth rate unsustainable or masking underlying issues
- 05MINORNo disclosure of average unit volumes (AUV) by age/cohort—cannot assess whether franchisees are achieving comparable results to system average
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
67 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Wing Snob · FDD (2025) PDF