Falafel Inc franchise
2026 filing · March 16, 2026
Falafel Inc at a glance
A fast-casual shop serving falafel, hummus, shawarma, fries, pita and sides. At the end of 2025 there were 13 Falafel Inc locations in the US, all company-owned.
The business
- Franchisor
- Falafel Franchise Company Inc
- The company that sells the franchises
- Typical size
- 600–2,000 sq ft
What you pay
- Cost to open
- $190K–$1.07M
- A traditional shop
- Franchise fee
- $50,000
- Paid once, when you sign
- Royalty
- 7%
- 7% of weekly gross sales
- Brand fund
- 3%
- 3% of gross sales, paid with the royalty
- Agreement length
- 10 years
Where it is
- US locations, 2025
- 13
- Franchised and company-owned
- Franchised
- 0
- Company-owned
- 13
- Change in 3 years
- 0
- Franchised locations, 2023–2025
From Falafel Franchise Company Inc’s 2026 filing; SBA status from the SBA Franchise Directory, October 28, 2026.
Where it ranks
Falafel Inc among all franchises with the same figure.
| Figure | Falafel Inc | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $631,500 | Costs more than 72% of franchises |
| Franchise feePaid once, when you sign | $50,000 | Higher than 70% of franchises |
| RoyaltyShare of sales paid to the franchisor | 7% | Higher than 70% of brands with a set rate |
| US locationsFranchised and company-owned | 13 | Fewer than 57% of franchises |
How much a Falafel Inc franchise costs
Opening a traditional shop costs an estimated $189,500 to $1,073,500. That covers the franchise fee and everything else needed to open, through the first months of working capital.
Source: Falafel Franchise Company Inc, 2026 filing, page 1
Falafel Inc franchise fee
The franchise fee is $50,000. You pay it when you sign the franchise agreement.
Source: Falafel Franchise Company Inc, 2026 filing, page 8
Royalty and ongoing fees
| Royalty | 7% of weekly gross sales. |
|---|---|
| Brand or marketing fund | 3% of gross sales, paid with the royalty. |
| Transfer Fee | $10,000 |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: Falafel Franchise Company Inc, 2026 filing, pages 9 and 10
Other fees as filed, from page 10. The filing lists every fee, including late fees and audit costs.
Sales and earnings
No figures Falafel Inc does not share sales or profit figures for its locations. Talking to current and former franchise owners is the usual way to learn what a location earns.
Source: Falafel Franchise Company Inc, 2026 filing, page 48
- Estimate Estimated yearly sales per location
- $720K–$1.3M
Estimated from the sales that 292 comparable franchises file, matched on industry, format, cost to open, fees and size.
How Falafel Inc compares
Of the 309 fast food franchises on this site, Falafel Inc is the 41st cheapest to open and the 175th largest by number of locations.
| Figure | Falafel Inc | Typical fast food brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $190K | $353K | $222K |
| Cost to open, high end | $1.07M | $786K | $477K |
| Franchise fee | $50K | $35K | $40K |
| Royalty | 7% | 6% | 6% |
| Brand fund | 3% | 2% | 2% |
| US locations | 13 | 23 | 21 |
| Shares earnings figures | No | 189 of 309 | 2,147 of 3,352 |
Typical is the median across the 309 brands in fast food franchises; typical franchise, across every brand here.
Locations opened and closed
| Year | Franchised | Company-owned | Opened | Closed |
|---|---|---|---|---|
| 2023 | 0 (0) | 5 | 0 | 0 |
| 2024 | 0 (0) | 7 | 0 | 0 |
| 2025 | 0 (0) | 13 | 0 | 0 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
See which brands grew most in the fastest-growing franchises rankings.
More in the guides: fast food franchise costs and franchise failure rates.
Source: Falafel Franchise Company Inc, 2026 filing, page 48
Who owns Falafel Inc?
Falafel Inc franchises are sold by Falafel Franchise Company Inc.
From Falafel Franchise Company Inc’s 2026 filing.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | None. The filing says no litigation has to be disclosed. |
|---|---|
| Bankruptcy | None. The filing says no bankruptcy has to be disclosed. |
Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.
Source: Falafel Franchise Company Inc, 2026 filing, litigation on page 8, bankruptcy on page 8
Falafel Inc filings
The figures on this page come from Falafel Franchise Company Inc’s 2026 filing, issued March 16, 2026, on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2026 filing | March 16, 2026 | NASAA depository | Costs, fees and locations, 2023–2025 |
Each link opens the filing as a PDF. See the newest filings across all brands.
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