KongDog Franchise
Cost, fees, owner earnings, closure rate and litigation for a KongDog franchise — pulled from the franchisor's own public FDD (2024), not its sales material.
Disclosure honesty
KongDog discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.
What their own earnings claim actually says
Franchisor explicitly declines to provide financial performance representations. No actual or projected earnings data disclosed.
What a KongDog franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $25,000 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 2% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 7% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $137,750 – $635,500 | Item 7 — franchisor's own low/high estimate |
5% royalty, 2% minimum local advertising, $250/month technology fee, plus successor/transfer fees up to $25,000.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
KongDog system size and owner turnover
| Total outlets | 4 |
| Ceased operations | 0 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 0 |
| Closure rate | 0.0% of outlets |
Only 2 franchised outlets opened in 2022; no closures, terminations, or transfers reported.
From Item 20 of the FDD 2024. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is KongDog worth it? — how it compares to 164 similar franchises
| Ongoing fees | 7% of sales | lower than most (median 8%) |
| Startup cost | from $137,750 | cheaper than most (median $481,500) |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 0.0% of outlets | better than most (median 1.3%) |
| Disclosed lawsuits | 0 | fewer than most |
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 KongDog
The franchisor's framing: Franchisor explicitly declines to provide financial performance representations. No actual… 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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KongDog franchise — frequently asked
- How much does a KongDog franchise cost?
- The FDD lists a total initial investment of about $137,750–$635,500, including a $25,000 initial franchise fee.
- How much do KongDog franchise owners make?
- KongDog discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
- What are the KongDog franchise fees?
- KongDog's FDD discloses a $25,000 initial franchise fee, a 5% royalty on gross sales, a 2% advertising-fund contribution, for roughly 7% of gross sales in recurring fees before rent, labor, or debt service. 5% royalty, 2% minimum local advertising, $250/month technology fee, plus successor/transfer fees up to $25,000.
- What is the KongDog franchise profit margin?
- KongDog discloses no Item 19 earnings representation, so no profit margin can be derived from the FDD at all. Any margin figure quoted elsewhere is an estimate, not a disclosure.
- What is the KongDog franchise failure rate?
- Only 2 franchised outlets opened in 2022; no closures, terminations, or transfers reported.
- How many KongDog locations are there?
- KongDog's FDD reports 4 total outlets, with 0 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 KongDog have complaints or lawsuits?
- KongDog discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a KongDog franchise worth it?
- It depends on the numbers, not the pitch. KongDog scores F on disclosure honesty, carries about 7% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare KongDog to similar franchises
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Source: MN CARDS 30407-202402-05 (Clean FDD 2024). FranchiseValidate is independent and not affiliated with KongDog or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.