A&W Restaurants vs Fala Bar

Compare FDD disclosures, investment range, royalty and ad fund burden, SBA lending outcomes, Item 20-style unit movement, Item 19 transparency, and data-confidence caveats with a permanent shareable URL.

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A&W Restaurants
Casual Dining
Investment
$470K to $2.2M
Franchise fee
$35,000
Item 19 status
Revenue Only
Confidence
High Confidence
Units
143
Fala Bar
Casual Dining
Investment
$123K to $271K
Franchise fee
$20,000
Item 19 status
Limited Data
Confidence
Medium Confidence
Units
4
Lower entry cost
Leans right
Based on disclosed minimum initial investment only; buyer cash needs may be higher after working capital, lease, and financing assumptions.
Better disclosed economics
A&W Restaurants
Uses the same Item 19 transparency hierarchy shown on franchise pages and rankings.
Lower SBA default risk
Even
Treat low-loan brands carefully; sample size and SBA borrower mix matter.
MetricA&W RestaurantsFala Bar
Franchise Fee
From disclosed FDD fee data when available; excludes buyer-specific legal, diligence, and financing costs.
$35,000$20,000
Min Investment
Lower bound of disclosed initial investment range, not a recommended capital budget.
$470K$123K
Max Investment
Upper end of FDD range; still reconcile to site, lease, buildout, and working-capital assumptions.
$2.2M$271K
Royalty Rate
Ongoing royalty burden before local store economics and owner salary.
5.0%3.0%
Ad Fund Rate
National/brand fund rate when disclosed; local marketing may be additive.
4.5%1.0%
Total Ongoing Burden
Royalty plus ad fund when available.
9.5%4.0%
Median Revenue (Item 19)
Only meaningful when the franchisor provides an Item 19 financial-performance representation.
$961KN/A
Cash-on-Cash Return
Estimated when revenue and margin assumptions are available.
0.4%N/A
Payback Period
273.6 yrsN/A
Revenue per Dollar Invested
0.73xN/A
Franchised Units
Latest disclosed franchised-unit count in the corpus.
1434
1-Year Net Unit Change
Item 20-style system movement signal; investigate transfers, closures, and refranchising before assuming organic growth.
N/AN/A
Net Unit Growth Rate
N/AN/A
Net Closure Rate
Net closure proxy based on disclosed unit change.
N/AN/A
SBA Default Rate
Historical SBA performance for matched loans, not a prediction for a new buyer or location.
0.0%0.0%
SBA Loan Count
Use this to judge whether SBA default data is statistically meaningful.
21
Average SBA Loan Size
$223K$272K
Item 19 Status
Canonical transparency badge used across franchise, ranking, and compare surfaces.
Revenue OnlyLimited Data
Has Item 19
✓ Yes✓ Yes
Data Confidence
Derived from the same data-quality thresholds used on franchise pages.
High Confidence · 100/100Medium Confidence · 75/100

What stands out

  • A&W Restaurants discloses an initial investment range of $470K to $2.2M, while Fala Bar discloses $123K to $271K. Treat these as FDD ranges, not a full purchase budget.
  • A&W Restaurants shows an Item 19 financial-performance disclosure; Fala Bar shows an Item 19 financial-performance disclosure. Missing Item 19 data should narrow confidence, not automatically kill a brand.
  • A&W Restaurants has 143 franchised units versus 4 for Fala Bar; use one-year net unit movement and closure proxies as early diligence signals, not final underwriting.

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Last updated: May 2026