Savvy Sliders
Initial Investment Range
$110,500 to $1,079,000
Franchise Fee
$100,000 to $1,000,000
The Savvy Sliders area representative franchise is a business that will enter into franchise agreements with the franchisor and solicit third parties to enter into franchise agreements for operation of Savvy Sliders Restaurant unit franchises in the territory and will provide support services to unit franchises in the territory.
Enjoy our complimentary free risk analysis below
Unlock the full risk analysis to access 9 more categories covering 100+ risks.
Savvy Sliders May 8, 2024 FDD Risk Analysis
Free FDD Library AI Analysis Date: July 16, 2025
DISCLAIMER: Not Legal Advice - For Informational Purposes Only. Consult With Qualified Franchise Professionals.
Franchisor Stability Risks
Start HereDisclosure of Franchisor's Financial Instability
High Risk
Explanation
Savvy Sliders Franchise, LLC's (Savvy Sliders LLC) audited financial statements reveal serious concerns. For the year ending December 31, 2023, the company reported a net loss of over $900,000, more than doubling the prior year's loss. Member's equity has plummeted to just $1,994. This financial performance raises questions about the franchisor's ability to support its franchisees long-term, potentially jeopardizing your investment.
Potential Mitigations
- A franchise accountant must conduct a deep analysis of the financial statements, focusing on the sources of revenue versus expenses and the extremely low equity.
- It is crucial to discuss the franchisor's plan to achieve profitability and maintain operations with your financial advisor.
- Your attorney should investigate if any state financial assurance requirements, like an escrow or bond, apply due to these weak financials.
High Franchisee Turnover
Low Risk
Explanation
The risk of high franchisee turnover was not identified, as Savvy Sliders LLC is a very new Area Representative system with only one franchisee at the end of 2023. Generally, high turnover can signal systemic problems, such as unprofitability or poor franchisor support. The lack of operating history here is itself a different kind of risk.
Potential Mitigations
- Your business advisor should help you monitor Item 20 data in future FDDs to track system growth and stability.
- It is important to ask the franchisor about their franchisee selection and support process to understand how they plan to ensure long-term success.
- Discussing the potential impacts of being an early franchisee in a new system with your attorney is a prudent step.
Rapid System Growth
Low Risk
Explanation
This FDD does not indicate a risk of overly rapid system growth, as only one Area Representative franchise was active at the end of 2023. This risk typically arises when a franchisor's expansion outpaces its ability to provide adequate support. While not currently a concern, monitoring growth in future FDDs is wise.
Potential Mitigations
- As you develop your territory, consulting your business advisor about the franchisor's capacity to support new unit franchisees is important.
- Have your accountant periodically review the franchisor's financials to ensure they are investing in support infrastructure as the system grows.
- Maintaining open communication with the franchisor about their growth plans and support capabilities is a recommended practice.
New/Unproven Franchise System
High Risk
Explanation
Savvy Sliders LLC is a very new and unproven Area Representative system, with only one franchisee as of year-end 2023. Critically, Item 1 states, "We do not operate and have not operated a business of the type to be operated by our unit franchisees." This lack of direct operational experience is a significant risk, as it may impact the quality and practicality of their systems and support.
Potential Mitigations
- You must conduct extremely thorough due diligence on the business experience of the management team listed in Item 2 with your business advisor.
- Speaking with the one existing Area Representative and any unit franchisees they support is critical to understand the reality of the support provided.
- Your attorney should be consulted to understand the implications of investing in a franchise where the franchisor lacks direct operating experience.
Possible Fad Business
Low Risk
Explanation
The business model, focused on sliders and other fast-casual food items, does not appear to be a short-term fad. It operates within the broader, established restaurant industry. A fad business carries the risk that consumer interest will wane, jeopardizing long-term viability even if your contractual obligations remain.
Potential Mitigations
- It is beneficial to conduct your own market research with a business advisor to assess the long-term consumer demand for this specific restaurant concept in your territory.
- Inquire with the franchisor about their long-term plans for menu innovation and concept evolution.
- Evaluating the concept's resilience to economic shifts and changing consumer tastes with your financial advisor is a prudent step.
Inexperienced Management
Medium Risk
Explanation
While the executive team has extensive general franchising experience through their involvement with Happy's Pizza, this is a different business concept. Item 11 concerningly discloses that the training instructors have less than one year of experience operating a Savvy Sliders Restaurant. This lack of brand-specific operational experience among trainers could impact the quality and effectiveness of the support you and your unit franchisees receive.
Potential Mitigations
- During your due diligence, specifically ask the franchisor about the operational experience of the support team dedicated to the Savvy Sliders brand.
- Speaking with the existing Area Representative and any unit franchisees about the quality of training and support is critical.
- Your business advisor can help you assess whether the franchisor's general experience is sufficient to overcome the lack of brand-specific history.
Private Equity Ownership
Low Risk
Explanation
The FDD does not indicate that Savvy Sliders LLC is owned by a private equity firm. This risk typically involves concerns that a PE owner might prioritize short-term investor returns over the long-term health of the franchise system. The parent company appears to be a holding company associated with the founders.
Potential Mitigations
- Your attorney should always verify the ownership structure described in Item 1 of the FDD.
- Discussing the franchisor's long-term vision and commitment to the brand with your business advisor is a crucial step.
- Inquiring about any potential plans to sell the company can provide insight into the stability of ownership.
Non-Disclosure of Parent Company
Medium Risk
Explanation
Item 1 discloses the parent company, AKJ Brands LLC. However, given that Savvy Sliders LLC was formed in 2019 and its own financial statements show significant losses and minimal equity, the financial statements of the parent company are not provided. This omission makes it difficult to assess the overall financial strength and stability backing your franchise investment, which is a notable risk.
Potential Mitigations
- Your attorney should advise you to request the parent company's financial statements to allow for a complete financial due diligence process.
- An experienced franchise accountant should review any provided parent financials to assess the overall stability of the enterprise.
- Inquire with your attorney whether the parent company should provide a performance guarantee for the franchisor's obligations.
Predecessor History Issues
Low Risk
Explanation
This risk is not present, as the franchisor states in Item 1 that it has no predecessors. Generally, issues can arise if a franchisor has a predecessor with a negative history of litigation, bankruptcy, or high franchisee turnover that is not fully disclosed, obscuring the true track record of the system.
Potential Mitigations
- A business advisor can help you research the history of the brand and its key executives to verify the "no predecessor" claim.
- Your attorney can confirm that the corporate history presented in Item 1 is complete and accurate.
- Speaking with long-term associates or franchisees of affiliated brands, like Happy's Pizza, could provide additional background.
Pattern of Litigation
High Risk
Explanation
Item 3 discloses that the CEO, Happy Asker, was found guilty in a 2013 federal criminal case for conspiracy to defraud the U.S. and filing false tax returns related to another business. He was sentenced to imprisonment and ordered to pay $2.5 million in restitution. This serious conviction involving financial misconduct by the person leading the franchise system represents a significant risk regarding management's integrity and character.
Potential Mitigations
- You must discuss the implications of the CEO's criminal conviction with your franchise attorney to fully understand the potential risks to the business and its reputation.
- A thorough background check on all key management personnel listed in Item 2 is highly advisable.
- Your business advisor can help you assess how this history might impact the franchisor's culture and relationship with franchisees.
Disclosure & Representation Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Financial & Fee Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Legal & Contract Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Territory & Competition Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Regulatory & Compliance Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Franchisor Support Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Operational Control Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Term & Exit Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Miscellaneous Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Related Food Franchises
Baja Fresh
$224,950 to $1,012,290
Barberitos
$521,000 to $830,360
Ben’s Soft Pretzels
$90,000 to $344,500
Captain D's
$898,600 to $1,354,200
Dog Haus Worldwide
$357,437 to $1,428,300
Famous Dave’s
$68,500 to $4,510,750
Orange Leaf
$106,500 to $639,500
Panchero’s Franchise Corporation
$752,500 to $1,552,500
Paris Baguette
$727,440 to $1,825,100
Pita Pit
Quality Is Our Recipe, LLC
$393,191 to $2,992,000
Teriyaki Madness
$346,400 to $768,760