PEDAL PUB

The financial entry point demands serious capital: Item 7 pegs total investment at $114,645-$281,196, including a $39,900 franchise fee, with bikes sourced from affiliates. Ongoing fees bite hard—8% royalty ramping to 10%, 2% ad fund capped at $1,000/month, plus $1,000 monthly digital fee and $200 technology fee—potentially eating 12-15% of sales for many operators. Item 19's disclosed grosses reveal the elephant: average $468,825 per unit versus a median of $113,984, signaling that top performers (likely in prime nightlife markets) inflate the mean while most grind seasonally. No net profit figures, but at median sales, after fees and ops, breaking even looks tough without scale.

System health raises red flags amid flat growth. From 15 locations in 2022-2023 (0% expansion) to 20 franchised plus 1 corporate now, Item 20 shows 3 terminations and 2 transfers, with 10 projected new units signaling cautious optimism. Eight SBA loans averaging $150,250 suggest accessible financing but underscore the cash burn in this entertainment niche. For urban entrepreneurs chasing experiential trends, Pedal Pub offers buzz, but the revenue chasm and fee creep demand scrutiny—target high-tourist zones or risk pedaling in place.