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Casual DiningLimited DataItem 19: ✓ DisclosedQuality: 85/100

Nathan's Famous

Based on 2025 FDD · 9 filings in corpus

FranchiseIQ Score
51
C
Moderate Risk
Composite score based on SBA default rate, unit growth, disclosure quality & investment efficiency.
Full analysis unlocks:
✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises
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Total Investment Range$554K – $2.0M
MinMid: $1.3MMax

Key Metrics

Franchise Fee
$30K
Royalty Rate
5.5%
Ad Fund Rate
2.5%
Total Burden
8.0%
Royalty + ad fund
Units (2023)
72
-1 vs prior yr
Net Unit Growth
→ -1.3%
Year over year
Cash-on-Cash Return
~8–15%
Annual estimated return
Payback Period
~5–12 yrs
Break-even timeline
SBA Default Rate
14.3%
vs ~7.2% industry avg
Median Revenue
~$800K–$2M
Item 19 disclosed
Premium Data

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SBA default rate, Risk Score, CoC%, investment benchmarks, and unit growth for Nathan's Famous.

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Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

Nathan's Famous vs. Casual Dining Average

MetricNathan's FamousCasual Dining Avg
SBA Default Rate14.3%▼7.2%
Cash-on-Cash Return—15.5%
Total Investment$1.3M$250K

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

Compare

Nathan's Famous vs Giordano's® RestaurantsNathan's Famous vs Fala BarNathan's Famous vs PAINT Nail Bar

Similar Franchises · Casual Dining

Giordano's® Restaurants
Limited Data
$645K–$1.8M
Fala Bar
Limited Data
$232K–$824K
PAINT Nail Bar
Limited Data
$218K–$756K
Giordano's® Restaurants
$645K – $1.8M
Fala Bar
$232K – $824K
PAINT Nail Bar
$218K – $756K
Bombshells Restaurant and Bar
$1.8M – $3.1M

Questions to Ask Before You Sign

5 data-driven questions every Nathan's Famous franchise buyer should ask.

  1. 1.What is Nathan's Famous's SBA default rate compared to its competitors?Learn more →
  2. 2.Does Nathan's Famous 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 Nathan's Famous →Validation call guide →

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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.