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Casual DiningLimited DataItem 19: ✓ DisclosedHigh Confidence · 90/100FDD data: 2024 · Aging

The Original Mel's Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for The Original Mel's.

Based on 2024 FDD · 5 filings in corpus

FranchiseIQ Score
68
B
Moderate-Low Risk
Composite score from 3 risk dimensions. Click for breakdown ↓
Health Score
B
70/100
3/7 metrics · Medium confidence
Full analysis unlocks:
✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises
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Cost and profit at a glance

How much does a The Original Mel's franchise cost and make?

Based on FDDIQ's FDD corpus, a The Original Mel's franchise shows an estimated initial investment of $620K – $1.5M. Reported owner economics show $71K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.

Startup Cost
$620K – $1.5M
Total initial investment
Profit / Revenue
$71K
FDD Item 19 signal
Payback Signal
15.3 years
Modeled return metric
SBA Default Rate
0.0%
Loan repayment history
Compare franchise costsEstimate franchise ROICheck SBA default ratesBrowse Casual Dining franchisesCompare similar franchises

Quick fee read: $35K franchise fee · 6.5% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

Free decision snapshot

Before you talk to The Original Mel's, check the numbers buyers usually miss.

The unlocked report ties this brand's FDD disclosures to SBA outcomes, Item 20 movement, fee load, missing-data labels, and buyer assumptions — so you can decide whether this is worth deeper diligence.

FDD disclosure qualitySBA default outcomesItem 20 unit movementFee/cost stressComparable brands
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Total Investment Range$620K$1.5M
MinMid: $1.1MMax

Key Metrics

Franchise Fee
$35K
Royalty Rate
4.5%
Ad Fund Rate
2%
Total Burden
6.5%
Royalty + ad fund
Units (2023)
-
Net Unit Growth
-
Year over year
Cash-on-Cash Return
6.6%
Annual estimated return
Payback Period
15.3 yrs
Break-even timeline
SBA Default Rate
0.0%
vs ~7.2% industry avg
Median Revenue
$2.0M
Item 19 disclosed
Premium Data

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CoC ReturnPayback PeriodSBA Default RateMedian RevenueEbitda MarginRisk Score
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Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

The Original Mel's vs. Casual Dining Average

MetricThe Original Mel'sCasual Dining Avg
SBA Default Rate0.0%7.2%
Cash-on-Cash Return6.6%15.5%
Total Investment$1.1M$250K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

SBA Loan Performance

Real lending data from SBA 7(a) loans (2019-2019). 1 loans across 1 states.

Default Rate
0.0%
Low Risk
Total SBA Loans
1
1 states
Total Loan Volume
$100K
SBA 7(a) approved
Avg Loan Size
$100K
Per franchisee
Loan Status Breakdown
1
Paid in Full (100%)
0
Currently Active
0
Charged Off
$0
Total Charged Off ($)
Paid Active Charged Off

Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.

Compare

The Original Mel's vs Another Broken Egg CafeThe Original Mel's vs Fala BarThe Original Mel's vs PAINT Nail Bar

Similar Franchises · Casual Dining

Another Broken Egg Cafe
Limited Data
$802K$1.6M
Fala Bar
Limited Data
$123K$271K
PAINT Nail Bar
Limited Data
$218K$756K
Another Broken Egg Cafe
$802K – $1.6M
Fala Bar
$123K – $271K
PAINT Nail Bar
$218K – $756K
BMB Franchising Services INC DBA Bombshells Restaurant Bar And Bombshells -2022
$1.7M – $3.1M

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Questions to Ask Before You Sign

5 data-driven questions every The Original Mel's franchise buyer should ask.

  1. 1.What is The Original Mel's's SBA default rate compared to its competitors?Learn more →
  2. 2.Does The Original Mel's disclose Item 19 financial performance representations?Learn more →
  3. 3.What is the net unit growth trend over the past 3 years?Learn more →
  4. 4.What is the franchisee termination and transfer rate per Item 20?Learn more →
  5. 5.What do the FDD litigation disclosures (Item 3) reveal about franchisor legal history?Learn more →
Generate attorney questions for The Original Mel'sValidation call guide →
Data sourced from publicly filed Franchise Disclosure Documents (FDDs) submitted to state franchise regulators. SBA loan data from public SBA 7(a) records. Information reflects the most recent FDD filing in our database and may not reflect current terms. Always verify with the franchisor's current FDD before making any investment decision. Not legal or financial advice.

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