FAZOLI'S

FAZOLI'S

Fazoli’s Franchising Systems, LLC is a franchisor of premium fast-casual Italian restaurants offering pasta, subs, salads, pizza, and desserts in freestanding, in-line end-cap, nontraditional (e.g., colleges, airports), and delivery-only ghost kitchen formats. Franchisees operate according to strict brand standards, paying initial franchise fees and ongoing royalties, with total investments varying by location type from about $472,500 to $2,641,500 excluding real estate. The target market is the general public in the highly competitive quick-service and casual dining sectors.

139
Locations
$1548K–$2491K
Investment
Since 1991
Franchising
Fast CasualLexington, KYFAT Brands, Inc.www.ownafazolis.comDisclaimer

Franchise Costs


Franchise Fee
$50,000
Item 5 of FDD
Initial Investment Range
$1,548,000 $2,491,000
Low: $1,548,000High: $2,491,000
Item 7 of FDD
Royalty Rate
5.00%
of gross sales
Brand Fund
4.00%
Item 6 of FDD
Fixed Monthly Fees
$1,034 – $1,604
Item 6 of FDD

5% royalty + 4% ad fund + $2,600-$3,950 annual Brand Technology support + $9,804-$15,300 annual software fees (approx. $1,034-$1,604/mo)

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$0
Median Gross Revenue
$0
Top Quartile Revenue
$0
Bottom Quartile Revenue
$0

Data Based On: 136 franchised restaurants (comprising 132 Traditional and 4 Non-traditional venues) open for the full fiscal year 2024, reporting net revenue.

* Financial performance data for franchised units is based on Table 2 from input_file_3.png. Average (Mean) Net Revenue was calculated as a weighted average of the Upper, Mid-Level, and Lower segments: (45 units × $1,784,583 + 45 units × $1,245,286 + 46 units × $897,197) / 136 total units = $1,305,993.88. This weighted average differs slightly from the $1,312,096 reported as 'Average (Mean) Net Revenue' in the 'Total' column of Table 2. Median Net Revenue, revenue_top_quartile (Upper segment average), and revenue_bottom_quartile (Lower segment average) were taken directly from Table 2. Profit and expense data (such as COGS, labor, operating expenses, etc.) are explicitly stated to be available exclusively for company-owned restaurants (Page 1, Point 4 and Page 2, Point 7), thus profit-related fields for franchised units are null.

Extracted Item 19 Section

How FAZOLI'S Compares


Key Insights

  • Higher investment than 99% of Fast Casual franchises
  • Lower than average SBA loan default rate in Fast Casual
FranchiseInvestmentFeeRoyaltyLocations
FAZOLI'S
Current
$1.5M – $2.5M$50K5.0%139
Tropical Smoothie Cafe$300K – $721K$35K6.0%1,371
TROPICAL SMOOTHIE CAFÉ$300K – $721K$35K6.0%1,371
FIREHOUSE SUBS RESTAURANTS (UNIT)$379K – $1.4M$20K6.0%1,248
Zaxby's$1.4M – $3.8M$35K6.0%826
Qdoba$548K – $1.3M$40K5.0%652
Fast Casual Average
107 franchises
$532K – $1.2M$39K5.6%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 107 Fast Casual franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2024)

Outlets by state across the United States

Top States
1KY
17
2MO
15
3TN
14
4TX
11
5WI
9
6OH
8
7FL
6
8IN
6
9NE
5
10CO
5
11GA
5
12IA
5
13KS
4
14IL
4
15AR
4

+13 more states

SBA Loan History


Historical SBA 7(a) loan data for FAZOLI'S franchisees (20102023)

Total Loans
21
Average Loan
$831,552
Total Volume
$17.5M
Default Rate
9.5%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

Franchisee Contacts


143 franchisee contacts on file from official FDD filings.

NameSBA Loan
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active

143 Contacts Available

Unlock all FAZOLI'S franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
1
Reacquired
0
Ceased Ops
13
Transfers
0
Sold to Franchisees
0
Projected New
4

Frequently Asked Questions


The total initial investment to open a FAZOLI'S franchise ranges from $1,548,000 to $2,491,000. This includes a franchise fee of $50,000. Ongoing royalty fees are 5.0% of gross sales.

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