FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Pepper Palace.
Based on 2025 FDD · 2 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a Pepper Palace franchise shows an estimated initial investment of $211K – $288K. Reported owner economics show $39K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $50K franchise fee · 8% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
Pepper Palace requires a total initial investment of $211K to $288K (midpoint approximately $250K), with an initial franchise fee of $50K. The ongoing fee burden is 8% (6% royalty plus 2% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
According to Item 19 of the 2025 FDD, the median revenue for Pepper Palace locations is $323K. The implied franchisee EBITDA is approximately $39K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 15.5% with a payback period of approximately 6.4 years.
Pepper Palace operates approximately 0 franchised units.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Common questions buyers ask about Pepper Palace, answered from FDD and SBA data.
The total initial investment for a Pepper Palace franchise ranges from $211K to $288K, according to their Franchise Disclosure Document.
Pepper Palace charges a 6% royalty fee on gross sales.
The initial franchise fee for Pepper Palace is $50,000.
There are approximately 0 Pepper Palace franchise locations as of 2023.
The median revenue for a Pepper Palace franchise is $323K, with a cash-on-cash return of 15.5%, according to FDD Item 19 data.
SBA loan default rate data for Pepper Palace is not currently available in the SBA database.
Whether a Pepper Palace franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.
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