Naz's Halal Food Franchise
Cost, fees, owner earnings, closure rate and litigation for a Naz's Halal Food franchise — pulled from the franchisor's own public FDD (2025), not its sales material.
Disclosure honesty
Naz's Halal Food discloses earnings (Item 19) — but the grade is how honestly. We graded it A.
What their own earnings claim actually says
Disclosed 2025 gross sales for 43 restaurants (30 licensee, 13 company-owned). AUV $1,707,957; median $1,595,729; range $405,917-$3,493,048. No projections or cherry-picking evident.
What a Naz's Halal Food franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $40,000 | Item 5 — paid up front, before you open |
| Royalty | 6% 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 | 8% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $322,800 – $584,000 | Item 7 — franchisor's own low/high estimate |
6% royalty + 2% brand fund. Marketing cap 5% gross sales. Tech fee $250/mo (max $500). Multiple ancillary fees apply.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Naz's Halal Food system size and owner turnover
| Total outlets | 54 |
| Ceased operations | 0 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 0 |
| Closure rate | 0.0% of outlets |
Zero closures, terminations, or transfers in 2025. Strong system growth and retention.
From Item 20 of the FDD 2025. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Naz's Halal Food worth it? — how it compares to 164 similar franchises
| Ongoing fees | 8% of sales | lower than most (median 8%) |
| Startup cost | from $322,800 | cheaper than most (median $481,500) |
| Disclosure honesty | Grade A | more honest than 99% of quick service restaurants franchises |
| 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 Naz's Halal Food
The franchisor's framing: Disclosed 2025 gross sales for 43 restaurants (30 licensee, 13 company-owned). AUV $1,707,… 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
Naz's Halal Food franchise — frequently asked
- How much does a Naz's Halal Food franchise cost?
- The FDD lists a total initial investment of about $322,800–$584,000, including a $40,000 initial franchise fee.
- How much do Naz's Halal Food franchise owners make?
- Disclosed 2025 gross sales for 43 restaurants (30 licensee, 13 company-owned). AUV $1,707,957; median $1,595,729; range $405,917-$3,493,048. No projections or cherry-picking evident. We grade this disclosure A for honesty.
- What are the Naz's Halal Food franchise fees?
- Naz's Halal Food's FDD discloses a $40,000 initial franchise fee, a 6% royalty on gross sales, a 2% advertising-fund contribution, for roughly 8% of gross sales in recurring fees before rent, labor, or debt service. 6% royalty + 2% brand fund. Marketing cap 5% gross sales. Tech fee $250/mo (max $500). Multiple ancillary fees apply.
- What is the Naz's Halal Food franchise profit margin?
- Naz's Halal Food does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Disclosed 2025 gross sales for 43 restaurants (30 licensee, 13 company-owned). AUV $1,707,957; median $1,595,729; range $405,917-$3,493,048. No projections or cherry-picking evident. Recurring fees alone take about 8% 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 Naz's Halal Food franchise failure rate?
- Zero closures, terminations, or transfers in 2025. Strong system growth and retention.
- How many Naz's Halal Food locations are there?
- Naz's Halal Food's FDD reports 54 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 Naz's Halal Food have complaints or lawsuits?
- Naz's Halal Food 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 Naz's Halal Food franchise worth it?
- It depends on the numbers, not the pitch. Naz's Halal Food scores A on disclosure honesty, carries about 8% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare Naz's Halal Food to similar franchises
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Source: WI DFI Franchise Registration (2025). FranchiseValidate is independent and not affiliated with Naz's Halal Food or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.