Risk Score
Pending analysis
Investment Range
$328,700 - $464,991
Franchise Fee
$25,000
Total US Locations
66
Business Summary
GOODCENTS® RESTAURANTs operate as fast-casual establishments selling sandwiches and pasta meals. These restaurants are designed to appeal to a broad customer base, including families, young adults, and seniors, with a focus on competitive pricing and health-oriented options. The business system includes distinctive signage, interior and exterior design, special recipes, uniform operational standards, and training and advertising programs.
Corporate History
Mr. Goodcents Franchise Systems, Inc. was incorporated in Kansas on March 20, 1991, and began offering franchises in the same year. The GOODCENTS brand first operated a restaurant similar to the franchised concept in March 1989. The company's Chairman of the Board also owns one GOODCENTS RESTAURANT.
Financial Overview
Investment Range
$328,700 - $464,991
Franchise Fee (Low)
$25,000
Franchise Fee (High)
$30,000
Royalty %
6%
Marketing %
3.5%
Equipment Costs (Low)
$260,700
Equipment Costs (High)
$332,191
Working Capital
$25,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Mr. Goodcents Franchise Systems, Inc. has a special risk highlighted in the FDD, stating that its financial condition calls into question its ability to provide services and support to franchisees. The company reported a net loss of $231,466 for the fiscal year ending December 31, 2024, and a retained deficit of $314,022 for the same period. While the independent auditor's report indicates no substantial doubt about the company's ability to continue as a going concern, the franchisor itself notes this as a risk for prospective franchisees.
Financing Details
Mr. Goodcents Franchise Systems, Inc. does not offer direct or indirect financing to franchisees. The franchisor also does not guarantee any notes, leases, or other financial obligations for franchisees.
Performance Metrics
Total US Locations
66
Franchised Units
65
Corporate Units
1
Avg Square Footage
1,625
Franchising Since
1991
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Mr. Goodcents Franchise Systems, Inc. reports that there is no litigation required to be disclosed in this FDD document.
Bankruptcy History
Mr. Goodcents Franchise Systems, Inc. reports that there is no bankruptcy information required to be disclosed in this FDD document.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, Mr. Goodcents franchisees must provide written notice to the franchisor at least one year before the current agreement expires. They must be in good standing, sign the then-current form of franchise agreement (which may include increases in royalty fees, marketing contributions, and other fees), pay a renewal fee equal to 50% of the then-current initial franchise fee, and execute general releases of all claims against the franchisor and its affiliates. Franchisees and their managers may also be required to attend and successfully complete a refresher training program. Additionally, the franchisee must refurbish and decorate the restaurant, and replace fixtures, equipment, and signs to meet current brand standards, or secure new premises and develop them to current standards.
Training & Support Program
Franchisor Assistance
Mr. Goodcents Franchise Systems, Inc. provides pre-opening assistance by furnishing prototype plans and specifications for restaurants, reviewing and approving proposed sites based on demographic and commercial criteria, and loaning the Operations & Training Manual. The franchisor also provides a 30-day initial training program for the franchisee and managers, along with guidance for pre-opening and initial operations. During ongoing operations, Mr. Goodcents offers operating procedures, evaluations to ensure compliance with system standards, and guidance on menu items, marketing, sales promotion, administrative procedures, and employee matters. Franchisees must use a proprietary Computer System from the franchisor's affiliate, InfoKING, for which monthly software license, maintenance, and support fees apply. The franchisor administers a National Marketing and Promotional Fund to which franchisees contribute, and mandates local advertising expenditures and participation in advertising cooperatives. Franchisees also receive access to an online training portal called Goodcents University.
Initial Training Hours
185
Training Location
GOODCENTS UNIVERSITY (online), the franchisor's training facility in De Soto, Kansas, a designated training Restaurant, and the franchisee's Restaurant location for on-the-job training.
Ongoing Support
After opening, Mr. Goodcents Franchise Systems, Inc. provides ongoing operating assistance that includes sharing operating procedures, evaluating the restaurant's compliance with system standards, determining additional authorized menu items and services, and offering guidance on marketing, sales promotion programs, and administrative procedures. The franchisor also provides guidance regarding employee hiring, relations, and termination, though franchisees are ultimately responsible for employee matters. Franchisees or their managers may be required to attend supplemental and refresher training programs at a designated time and place, for which reasonable charges may apply. The franchisor accesses all information and financial data from the franchisee's Computer System for audit and development purposes, and provides updates to the Operations & Training Manual through an online portal.
Franchise Requirements
Ideal Candidate Profile
Goodcents Restaurant seeks individuals and entities willing to undertake the significant investment of time, funds, and effort required to establish, develop, own, and operate one or more Goodcents Restaurants. Franchisees or their approved operating managers must be directly involved in the day-to-day, full-time supervision of the restaurant. If a manager is supervising, the franchisee must still be active in overseeing operations. For business entity franchisees, owners are generally restricted from engaging in other conflicting business activities. Key principals (officers, directors, and owners with 10% or more interest, and their spouses) are required to personally guarantee all financial obligations under the franchise agreement. The success of a Goodcents Restaurant heavily depends on the franchisee's business abilities and efforts, as well as their willingness to comply with the System's operational standards.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
supervisory
Territory Type
non-exclusive
Territory Size Requirements
For single-unit Goodcents Restaurant franchisees, no exclusive territory is granted, meaning they may face competition from other franchisees or company-owned outlets. The franchise grants the right to operate a restaurant at a single, specific, franchisor-approved location. For multi-unit agreements, Goodcents Restaurant grants developers rights within a designated Development Area. The size of this Development Area is flexible, determined by market and economic factors, and can range from one or more counties in rural areas, to a portion or all of a metropolitan statistical area (MSA) in densely populated cities, or even portions of states. Goodcents Restaurant may also restrict a franchisee from locating a restaurant too close to the perimeter of their Development Area to prevent impact on adjacent markets.
Staffing Notes
Mr. Goodcents franchisees are responsible for hiring and training all restaurant employees, ensuring they maintain a fully trained staff using the Goodcents University Training Program to meet franchisor standards. The restaurant must always be under the direct, day-to-day, full-time supervision of the franchisee or an approved operating manager who has completed the initial training. If a manager is hired, the franchisee must still actively oversee operations. The designated manager is required to spend at least 40 hours per week supervising and controlling the restaurant, and either the franchisee, the approved manager, or an assistant manager must be physically present and actively supervising during all operating hours.