Keke's Breakfast Cafe Franchise
Cost, fees, owner earnings, closure rate and litigation for a Keke's Breakfast Cafe franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Keke's Breakfast Cafe discloses earnings (Item 19) — but the grade is how honestly. We graded it B.
What their own earnings claim actually says
Average operating profits for 27 franchises open 12+ months in 2025. Top half averaged $637,964 EBITDA (26.3% of sales); bottom half $310,347 (19.3%). Excludes debt service, owner compensation.
What a Keke's Breakfast Cafe franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $30,000 | Item 5 — paid up front, before you open |
| Royalty | 5.25% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 2.5% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 7.75% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $638,425 – $1,938,813 | Item 7 — franchisor's own low/high estimate |
Royalty 5.5% first 3 years, then 5%. Brand building 2% first 3 years, then 3%. Tech support $60/week. Multiple additional fees apply.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Keke's Breakfast Cafe system size and owner turnover
| Total outlets | 82 |
| Ceased operations | 3 |
| Terminated by franchisor | 2 |
| Transferred to new owners | 0 |
| Closure rate | 3.7% of outlets |
2025: 2 terminations, 3 ceased operations (other reasons) among 58 franchised units. Transfer activity minimal.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Keke's Breakfast Cafe worth it? — how it compares to 164 similar franchises
| Ongoing fees | 7.75% of sales | lower than most (median 8%) |
| Startup cost | from $638,425 | pricier than 64% of peers |
| Disclosure honesty | Grade B | more honest than 85% of quick service restaurants franchises |
| Closure rate | 3.7% of outlets | worse than 67% of peers |
| Disclosed lawsuits | 3 | more litigious than 74% of peers |
Benchmarked against every quick service restaurants franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Keke's Breakfast Cafe
The franchisor's framing: Average operating profits for 27 franchises open 12+ months in 2025. Top half averaged $63… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
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Keke's Breakfast Cafe franchise — frequently asked
- How much does a Keke's Breakfast Cafe franchise cost?
- The FDD lists a total initial investment of about $638,425–$1,938,813, including a $30,000 initial franchise fee.
- How much do Keke's Breakfast Cafe franchise owners make?
- Average operating profits for 27 franchises open 12+ months in 2025. Top half averaged $637,964 EBITDA (26.3% of sales); bottom half $310,347 (19.3%). Excludes debt service, owner compensation. We grade this disclosure B for honesty.
- What are the Keke's Breakfast Cafe franchise fees?
- Keke's Breakfast Cafe's FDD discloses a $30,000 initial franchise fee, a 5.25% royalty on gross sales, a 2.5% advertising-fund contribution, for roughly 7.75% of gross sales in recurring fees before rent, labor, or debt service. Royalty 5.5% first 3 years, then 5%. Brand building 2% first 3 years, then 3%. Tech support $60/week. Multiple additional fees apply.
- What is the Keke's Breakfast Cafe franchise profit margin?
- Keke's Breakfast Cafe does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Average operating profits for 27 franchises open 12+ months in 2025. Top half averaged $637,964 EBITDA (26.3% of sales); bottom half $310,347 (19.3%). Excludes debt service, owner compensation. Recurring fees alone take about 7.75% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Keke's Breakfast Cafe franchise failure rate?
- 2025: 2 terminations, 3 ceased operations (other reasons) among 58 franchised units. Transfer activity minimal.
- How many Keke's Breakfast Cafe locations are there?
- Keke's Breakfast Cafe's FDD reports 82 total outlets, with 3 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Keke's Breakfast Cafe have complaints or lawsuits?
- Keke's Breakfast Cafe discloses 3 legal matters in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Keke's Breakfast Cafe franchise worth it?
- It depends on the numbers, not the pitch. Keke's Breakfast Cafe scores B on disclosure honesty, carries about 7.75% of sales in ongoing fees, and discloses 3 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Keke's Breakfast Cafe or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.