SBARRO

SBARRO

Sbarro Franchise Co., LLC franchises quick-service Italian-style restaurants featuring pizza, pasta, salads, sandwiches, desserts, and beverages, primarily in high-traffic locations such as shopping mall food courts, in-line spaces, convenience stores, truck stops, casinos, hospitals, and college campuses. The business model includes offering single-unit franchises for new Traditional or Non-Traditional locations, Conversion Restaurants from existing company-owned units, and optional multi-unit Development Agreements for experienced operators. It targets franchisees seeking to serve on-the-go customers in captive audience, pedestrian-heavy environments with a focus on fresh Italian fare.

220
Locations
$212K–$931K
Investment
Since 1977
Franchising
Food & BeverageColumbus, OHSBARRO Holdings, Inc., New SBARRO Finance, Inc., New SBARRO Intermediate Holdings, Inc.www.sbarro.comDisclaimer

Franchise Costs


Franchise Fee
$30,000
Item 5 of FDD
Initial Investment Range
$211,900 $931,000
Low: $211,900High: $931,000
Item 7 of FDD
Royalty Rate
5.00%
of gross sales
Brand Fund
2.00%
Item 6 of FDD
Fixed Monthly Fees
$250 – $600
Item 6 of FDD

5-7% royalty + up to 2% marketing fund + $150-500/mo POS system fees + approx. $100/mo insurance.

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: Operating results of 143 company locations that were open and operating during the entire calendar year of 2024, as presented in Table 1 of Item 19.

* Weighted average gross revenue calculated from Table 1 data: (35 units * $1,415,214 + 36 units * $816,227 + 36 units * $628,778 + 36 units * $461,304) / 143 total units = $826,291.01. Best guess profit range for a franchisee was estimated from company unit data in Table 1 (COGS, Total Payroll, Other Expenses) by adding estimated ranges for missing expenses as disclosed in Item 19: occupancy (8-15% of sales), royalties (5-6% of sales), and other potential missing fees/costs (2-5% of sales). For best_guess_profit_high: (1 - (56.3% known expenses + 8% occupancy + 5% royalties + 2% other fees)) * $826,291.01 = $237,145.52. For best_guess_profit_low: (1 - (80.4% known expenses + 15% occupancy + 6% royalties + 5% other fees)) * $826,291.01 = -$52,882.62.

Extracted Item 19 Section

How SBARRO Compares


Key Insights

  • Lower investment than 77% of Fast Food franchises
  • Higher than average SBA loan default rate in Fast Food
FranchiseInvestmentFeeRoyaltyLocations
SBARRO
Current
$212K – $931K$30K5.0%220
MCDONALD'S$1.5M – $2.6M$45KN/A12,772
AFC$45K – $151K$6K9.5%3,572
SONIC DRIVE-IN$1.7M – $3.1M$15K5.0%3,441
JIMMY JOHN'S$366K – $728K$35K6.0%2,647
ARBY'S$645K – $2.5M$38K4.0%2,316
Fast Food Average
126 franchises
$594K – $1.5M$35K6.1%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 126 Fast Food 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
1FL
22
2IL
18
3CA
15
4OH
15
5PA
14
6TX
11
7NV
11
8KS
10
9MI
7
10IN
6
11CT
6
12CO
6
13GA
6
14OK
5
15VA
5

+25 more states

SBA Loan History


Historical SBA 7(a) loan data for SBARRO franchisees (20102025)

Total Loans
9
Average Loan
$385,322
Total Volume
$3.5M
Default Rate
0.0%

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


220 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

220 Contacts Available

Unlock all SBARRO 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
11
Reacquired
0
Ceased Ops
0
Transfers
2
Sold to Franchisees
0
Projected New
47

Frequently Asked Questions


The total initial investment to open a SBARRO franchise ranges from $211,900 to $931,000. This includes a franchise fee of $30,000. Ongoing royalty fees are 5.0% of gross sales.

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