Quick Verdict · who it fits
The Halal Guys fits first-time franchise buyers looking for a mid-scale food & beverage concept.
The numbers a buyer needs first — straight from the filing.
Initial investment (Item 7)
$418K - $1.3M
Royalty (Item 6)
6% + 2% ad
Item 19 median rev
$1.07M population not disclosed in this filing
System size (Item 20)
77 +7
Agreement term
10 yrs
Company-owned units
4
Item 3 litigation
4 suits
Model The Halal Guys's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.
Buyer qualifications
✓Exclusive territory✓Semi-absentee eligible✓No bankruptcy disclosed•4 Item 3 cases
Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Drag to your projected annual sales. Royalty 6% + ad fund 2% on gross sales.
PROJECTED ANNUAL SALES$1,070,000
$100k$2M
Royalty (6%)
—
Ad fund (2%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
Free AI summary — the first read on the filing.
85
Total units open
4
Units opened last year
11
Units closed last year
-8
Net unit growth
What our analysis flagged across the 2026 filing.
4
Risks to review
3
Strengths identified
4
Questions to ask
How The Halal Guys ranks against 749 Food & Beverage peers we've analyzed.
Initial investment
58th pct · of 749 peers
System size
68th pct · of 749 peers
Food & Beverage industry averages
Avg investment
$589K - $1.4M
Avg franchise fee
$37K
Avg system size
261
Franchises analyzed
749
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| The Halal Guys | Disclosed | — | $418K - $1.3M | 6% | 77 |
| Sprinkles Franchise Group Llc (sprinkles Cupcakes)Similar price | None | $40K | $725K - $1.3M | 5% | 4 |
| Doctor's AssociatesBiggest system | None | $15K | $227K - $630K | 8% | 18,773 |
| Vintage Hospitality GroupTop-rated in category | Disclosed | $50K | $3.5M - $6.4M | 5.5% | 33 |
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Free explainers to go deeper before you sign.
Brand Analysis
Chipotle reported 4,186 company-operated restaurants and 15 international licensed restaurants as of June 30, 2026. None are franchised, there is no FDD, and there is nothing to apply for. Qdoba is the franchised version of the same order line, and its 12/25 FDD puts a traditional restaurant at $548,100 to $1,294,000.
Brand Analysis
Cracker Barrel Old Country Store, Inc. reported 656 company-operated stores in 43 states as of January 30, 2026, and the brand has never sold a franchise. Huddle House and Another Broken Egg cover the same daypart with filed FDDs, at $555,375 to $1,715,275 and $792,500 to $1,804,000.
Brand Analysis
The Häagen-Dazs Shoppe Company franchises the ice cream shops on a $30,000 fee and a 4% royalty, with a 2026 Item 7 range of $213,329 to $591,579. The trademark belongs to a different company, and the ice cream you are required to buy comes from a third.
The Halal Guys requires a total initial investment range of $417,600–$1,310,250, per the most recent FDD on file.
The Halal Guys franchises are sold by The Halal Guys Franchise Inc., the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the corporate structure, including any parent companies and predecessors.
Yes. The Halal Guys discloses Item 19 financial performance representations with reported revenue around $1,068,800. See the financials sub-page for the full distribution.
Franchisees pay a royalty of 6% of Gross Sales and an advertising fund contribution of 2% of Gross Sales on gross sales as defined in Item 6 of the FDD.
As of their 2026 FDD, The Halal Guys has 77 total locations, with 7 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.
Yes. The Halal Guys grants franchisees an exclusive territory under Item 12 of the FDD. Note that exclusive territories often carve out online sales, alternative distribution channels, and non-traditional venues — review the full Item 12 language before signing.
Per the FDD, The Halal Guys discloses an initial agreement term of 10 years. Review Items 10 and 17 for the full renewal and termination provisions.
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