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MOOYAH

Other Restaurants · 2024 FDD

MOOYAH offers fast-casual restaurants serving high-quality hamburgers and other sandwiches under the MOOYAH brand. Known for its burgers, the franchise operates in the quick-service restaurant sector.

$372,525 – $1,186,124
Total investment
$40,000
Franchise fee
74
Systemwide units
6%
Royalty

About MOOYAH

Founded2007
HeadquartersFrisco

Mooyah is an American fast casual restaurant chain headquartered in Plano, Texas. The chain reached over 100 locations in 20 U.S. states and nine countries in 2016 in North America and the Middle East. They specialize in hamburgers, french fries, and shakes. They are known for their beef hamburgers which use Angus beef and their French-fries.

Read more on Wikipedia → · Facts from Wikipedia (CC BY-SA)

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MOOYAH franchise FAQ

How much does it cost to open one — the total initial investment?

The total estimated initial investment required to open and commence operating the first Restaurant ranges from approximately $134,000 to $159,000. This includes all items outlined in the table for 'Your Estimated Initial Investment - Franchise Agreement' as mentioned on page [p.20]. Note that this does not include any estimates for debt service or payroll costs, and it also does not include revenues earned during the start-up phase of 3 months, as stated on page [p.19].

What is the initial franchise fee?

The initial franchise fee is $40,000 when you sign the Franchise Agreement. This fee is uniform for all franchisees and is earned by the franchisor upon signing the agreement. However, in the 2024 fiscal year, a reduced Initial Franchise Fee of $25,000 was charged to a specific franchisee who also signed an Area Development Agreement during that fiscal year. [p.12]

What are the ongoing royalty and advertising fees?

The ongoing royalty fee is 6% of the franchisee's gross sales per year [p.70], while the advertising fee is up to 3% of the franchisee's gross sales per year [p.168]. These fees are recognized when food items are delivered to or carried out by customers and are due within seven days of the prior week end date for domestic payments, with international payments due within 30 days of the month end [p.168].

How long is the initial franchise agreement, and can I renew it?

The duration of the initial franchise agreement and the renewal process are not specified in the provided excerpts. This isn't specified in the excerpts.

Can I sell or transfer my franchise, and what does that require?

The franchisor can refuse to permit the transfer of your ownership of the franchise except for good cause [p.5]. Good cause includes but is not limited to unspecified factors relevant to the franchisor's decision [p.5].

On what grounds can the franchisor terminate the agreement?

This isn't specified in the excerpts. The provided FDD excerpts detail termination rights for the franchisee but do not specify the grounds for termination by the franchisor.

What financial requirements — net worth and liquid capital — do I need to qualify?

This isn't specified in the excerpts. The FDD does not provide specific details on the required net worth or liquid capital you need to qualify as a franchisee. However, it emphasizes maintaining sufficient working capital reserves to fulfill your obligations under the agreement [p.73].

Do I get an exclusive or protected territory?

No, you will not receive an exclusive territory. However, during the term of the Area Development Agreement, the franchisor and its affiliates will not operate or grant a franchise for Restaurants within your Protected Area if you are in compliance with all terms, provided that the Protected Area is defined as specified in the Minimum Performance Schedule [p.33]. This Protected Area may vary based on several factors [p.33], and you are responsible for locating suitable sites which must meet the franchisor's criteria [p.33].

What training and ongoing support does the franchisor provide?

The franchisor provides formal training overseen by Gary Lisenbee, who has extensive experience in restaurant operations. Initial training costs are covered up to three people, but travel, lodging, meals, wages, and benefits for additional trainees must be borne by the franchisee. Ongoing support includes requiring transferees and their General Managers to complete any then-current training programs at their expense [p.94].

How many franchised outlets are there, and how many have closed or been terminated?

As of December 29, 2024, there were a total of 74 franchised Restaurants in operation in the United States. The FDD does not specify the number of closed or terminated franchises; it only mentions that a franchisee ceased operations but the Franchise Agreement was not yet terminated [p.152].

Does the franchisor share any financial performance or earnings information?

The franchisor is permitted to provide financial performance information if there is a reasonable basis for it, but this must be included in the FDD. The franchisor may also provide actual records of an existing restaurant you are considering purchasing. Any other financial performance information or projections should be reported to the franchisor's management and relevant regulatory agencies [p.46, p.55].

What am I restricted to selling, and where must I buy supplies?

You are required to offer the basic MOOYAH® menu items as specified in the Operations Manual [p.39]. Additional menu items need franchisor approval. You may have to buy or lease certain items from the franchisor or a limited group of suppliers designated by them, which might be more expensive than other options [p.3]. This isn't specified in the excerpts.