MOD Pizza Franchise
Cost, fees, owner earnings, closure rate and litigation for a MOD Pizza franchise — pulled from the franchisor's own public FDD (2024), not its sales material.
Disclosure honesty
MOD Pizza 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
No financial performance representations made. Franchisor explicitly declines to disclose any revenue, sales, or earnings data. Complete omission of all unit economics; prospective buyers get zero financial guidance.
What a MOD Pizza 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% 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 | $1,001,223 – $1,301,134 | Item 7 — franchisor's own low/high estimate |
Royalty ramps from 2-5% for new ADAs; marketing fee up to 3%; plus 2% local marketing obligation.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
MOD Pizza system size and owner turnover
| Total outlets | 552 |
| Ceased operations | 1 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 0 |
| Closure rate | 0.2% of outlets |
2023: 0 terminations, 1 ceased operations, 1 reacquired by franchisor; low churn but tiny franchised base of 87 units.
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 MOD Pizza worth it? — how it compares to 38 similar franchises
| Ongoing fees | 7% of sales | lower than most (median 8%) |
| Startup cost | from $1,001,223 | pricier than 77% of peers |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 0.2% of outlets | better than most (median 0.6%) |
| Disclosed lawsuits | 0 | fewer than most |
Benchmarked against every pizza franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a MOD Pizza
The franchisor's framing: No financial performance representations made. Franchisor explicitly declines to disclose … 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
See a full sample report → · 30-day guarantee
MOD Pizza franchise — frequently asked
- How much does a MOD Pizza franchise cost?
- The FDD lists a total initial investment of about $1,001,223–$1,301,134, including a $30,000 initial franchise fee.
- How much do MOD Pizza franchise owners make?
- MOD Pizza 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 MOD Pizza franchise fees?
- MOD Pizza's FDD discloses a $30,000 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. Royalty ramps from 2-5% for new ADAs; marketing fee up to 3%; plus 2% local marketing obligation.
- What is the MOD Pizza franchise profit margin?
- MOD Pizza 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 MOD Pizza franchise failure rate?
- 2023: 0 terminations, 1 ceased operations, 1 reacquired by franchisor; low churn but tiny franchised base of 87 units.
- How many MOD Pizza locations are there?
- MOD Pizza's FDD reports 552 total outlets, with 1 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 MOD Pizza have complaints or lawsuits?
- MOD Pizza 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 MOD Pizza franchise worth it?
- It depends on the numbers, not the pitch. MOD Pizza scores F on disclosure honesty, carries about 7% of sales in ongoing fees. Get the real owner take-home before you sign.
Own a MOD Pizza? Add your real numbers (anonymous)
We publish only aggregated benchmarks — never your name. Contribute and we'll show you how your numbers compare.
Compare MOD Pizza to similar franchises
See all franchises ranked by disclosure honesty →
Source: MN CARDS 31547-202404-08 (Clean FDD 2024). FranchiseValidate is independent and not affiliated with MOD Pizza or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.