How to Finance a Little Greek Franchise: Greek Grill Costs
By Anthony Cornella
A Little Greek franchise loan funds a fast-casual Greek restaurant built around fresh, affordable meals, with a franchisor that aims to open each new store quickly once a site is chosen. The brand is listed on the SBA Franchise Directory, which opens the door to SBA-guaranteed financing, but its directory entry carries three notes that matter if you plan to own your building.
US Professional Funding is not affiliated with, sponsored by or endorsed by Little Greek; the name is used only to describe the business. Figures from the franchisor’s disclosure document can change, loan programs vary, and every loan is subject to approval. Nothing here is legal, tax or investment advice, so review the current Franchise Disclosure Document (FDD) and franchise agreement with a franchise attorney and an accountant before signing anything.
Little Greek Franchise Loan at a Glance
- Concept: a fast-casual Greek restaurant focused on healthy, affordable meals.
- Origin: founder Sigrid Bratic opened the first restaurant in Palm Harbor, Florida, and grew to four locations by 2011.
- Franchising: in 2011 the brand partnered with veteran restaurant franchise executive Nick Vojnovic to expand through franchising.
- Footprint: the franchise page lists 31 locations across Florida, Arkansas, Georgia, Kentucky and Texas, with more in development.
- Opening goal: a new store open no more than 120 days after a letter of intent is signed, according to the franchisor.
- Franchise fee, royalty, marketing fund and total investment: not published on the franchise page; confirm them in Items 5, 6 and 7 of the current FDD.
- Ideal candidate: well-capitalized, ideally with multi-unit restaurant or retail experience.
- SBA Franchise Directory: listed as Little Greek (code S1010), with three notes on real estate collateral, a purchase option and lien position.
What Is Little Greek?
Little Greek started as a single restaurant in Palm Harbor on Florida’s Gulf Coast. After the founder built a small group of four stores, a franchising partnership in 2011 took the concept beyond its home market, and the system now reaches into the Southeast, the South Central states and Texas.
The concept. The menu centers on Greek-inspired grilled meats, salads, pitas and platters served fast-casual style for dine-in, takeout and catering. The franchisor’s stated values are a passion for healthy, affordable meals, a business model that is clear and easy to understand, and a commitment to the communities where its stores operate.
How lenders view it. More than a decade of franchising and stores in several states give lenders a track record to review, but this is still a regional brand. Expect lenders to weigh your experience, the site and the local market as heavily as the brand itself. Our article on financing an emerging franchise explains how lenders approach smaller systems.
Little Greek Franchise Costs
The franchise page does not publish fees or an investment range, and points prospects to its franchise brochure and an information request. Build your budget from the current FDD and local quotes.
Initial franchise fee
Item 5 states the fee, when it is due and whether any part is refundable. If you plan more than one store, ask how development fees or reduced fees for later stores work.
Real estate and build-out
Most fast-casual Greek restaurants sit in strip centers or end caps. The big build-out items are the kitchen hood and fire suppression, grease management, plumbing, electrical capacity for grills and fryers, a walk-in cooler, the dining room and restrooms. A former restaurant space with a usable hood can shorten the timeline, which matters for a brand targeting openings within 120 days of a letter of intent.
Equipment
Plan for vertical broilers or grills for gyro meat, flat tops, fryers, a refrigerated make line, prep tables, walk-in and reach-in refrigeration, dish equipment, point-of-sale and online ordering systems.
Opening costs and working capital
Include training costs, hiring and pre-opening payroll, opening food inventory, smallwares, initial marketing, deposits, insurance and permits, and a reserve for the ramp-up months.
Total investment
When you read Item 7, check each category against your site:
- Initial franchise fee
- Lease deposits and rent during construction
- Leasehold improvements and kitchen construction
- Cooking, refrigeration and dish equipment
- Furniture, signage and décor
- Technology and point-of-sale systems
- Opening inventory and smallwares
- Training, pre-opening payroll and grand opening marketing
- Licenses, permits, insurance and professional fees
- Additional funds for the initial operating period
Ongoing Fees and How They Affect Your Loan
Item 6 lists the royalty, any marketing fund or local advertising requirement, technology fees and transfer and renewal fees. Percentage-of-sales fees rise with volume and come out before rent, payroll and food costs.
Lenders deduct these fees in their projections before testing whether cash flow covers loan payments with a margin to spare. Ask also whether remodels or equipment upgrades are required during the franchise term, because they become future capital needs.
Franchisor Requirements for New Owners
The franchisor looks for well-capitalized investors and ideally prefers experience running successful multi-unit restaurant or retail operations. It also notes that first-time investors have succeeded with its training and guidance. Support covers site selection, hiring, initial marketing and training.
No minimum net worth or liquid capital figure is published on the franchise page, so request the financial qualifications in writing. Lenders will set their own equity and reserve expectations.
Ways to Own a Little Greek
A new restaurant. Most owners open a new store in an approved market. Lenders underwrite a start-up on projections, the lease and the owner’s background. See our page on restaurant start-up financing for how new locations are funded.
Buying an existing restaurant. With stores across five states, an existing location may come up for sale. The franchisor must approve the transfer, and the store’s history gives a lender real numbers to work with. Our page on franchise acquisition financing covers how purchases are structured.
Multiple stores. Experienced multi-unit operators may negotiate development rights for several stores; see the growth section below.
Financing Options for a Little Greek Franchise
SBA 7(a) loans. For many buyers, the core Little Greek franchise loan is one of the SBA 7(a) loans, which can cover the franchise fee, build-out, equipment, opening inventory and working capital, and can include real estate. The 7(a) program maximum is currently $5 million, and program rules can change.
SBA 504 loans. If you buy the building, SBA 504 loans are designed for owner-occupied real estate and long-lived equipment. The directory notes below apply when real estate secures the loan.
Conventional term loans. Operators with strong liquidity and a record of successful stores may qualify for conventional business loans, particularly for later units.
Equipment financing. Broilers, fryers, refrigeration and point-of-sale hardware can be financed separately with the equipment as collateral. Our restaurant equipment financing and leasing page explains how; your main lender will count those payments.
Working capital and lines of credit. A new store needs cash for payroll and food purchases before sales ramp up, and catering orders can stretch receivables. Our restaurant working capital page outlines the options.
Seller financing on resales. A seller may carry part of the price on an existing store. Seller notes are typically subordinate to the primary loan, and SBA rules may limit their terms.
SBA Loans for Little Greek Franchisees
SBA loans are made by participating lenders with a partial SBA guarantee. For franchises, the lender must confirm that the franchise agreement leaves the owner in control of the business, and the SBA Franchise Directory makes that review easier.
The directory listing. Little Greek appears on the SBA Franchise Directory under code S1010. A listing means the brand’s documents have been reviewed for eligibility; it does not approve any borrower or guarantee a loan.
What the three directory notes mean. The listing carries three conditions, all tied to collateral:
- The lease assignment. When the real estate where the restaurant is located will secure the SBA-guaranteed loan, the Agreement and Conditional Assignment of Lease may not be executed. That document lets the franchisor step into a leased site; if you own the property and pledge it to the loan, it is not signed for that deal.
- The purchase option. The franchisor may not enforce a purchase option on real estate owned by the franchisee or an affiliate if that property is taken as collateral for the SBA loan. This protects the lender’s claim on the building.
- Lien position. The lender, or the development company on a 504 loan, must obtain the correct lien position on all collateral under SBA rules. In practice, franchisor rights cannot get ahead of the lender’s security.
If you lease your site, the first two notes generally do not come into play. If you or a related entity own the building, raise these notes early so your attorney, lender and the franchisor align the documents.
SBA application tips. Gather the franchise agreement, lease or purchase contract, contractor and equipment quotes, a sources and uses statement, personal and business tax returns and resumes for each owner.
How Lenders Evaluate a Little Greek Deal
Personal credit and financial history. Lenders review credit, tax returns and existing debts, and owners with significant stakes usually sign personal guarantees.
Net worth and liquidity. With no published minimum, lenders look at your cash for the equity injection, reserves after closing and outside assets.
Restaurant or retail management experience. The franchisor favors multi-unit restaurant or retail experience, and so do lenders. First-time owners should show a strong general manager hire and a plan for training.
Business plan and projections. Model lunch and dinner traffic, average ticket, catering, delivery commissions, food and labor costs and the Item 6 fees. Our article on how lenders read the FDD shows which disclosures shape these assumptions.
The FDD and franchise agreement. Lenders check the term, renewal, transfer rules and remodel requirements, and want the term to outlast the loan. Item 19 shows whether the FDD includes financial performance representations, and Item 10 shows any franchisor financing.
The site and lease. Visibility, parking, a strong lunch trade area and a lease that runs past the loan term all help.
The 120-Day Opening Target and Your Loan Timeline
The franchisor’s goal of opening within 120 days of a letter of intent compresses the schedule. Loan approval, appraisal for owned real estate, permits and equipment orders all need to run in parallel. Start financing conversations before you sign a letter of intent, have your documents ready and choose a site with an existing kitchen when possible to keep construction short.
Multi-Unit Growth and Development Agreements
If you commit to multiple stores, match the opening schedule to your ability to raise equity and qualify for each new loan. Lenders usually finance each store separately, informed by the results of your open locations. SBA limits apply across all of a borrower’s SBA loans, so larger plans may move to conventional financing. Read about multi-unit franchise financing before agreeing to a schedule.
Real-World Scenarios
A retail manager’s first store. A former multi-unit retail manager finances a new store in a second-generation restaurant space with an SBA 7(a) loan and hires an experienced kitchen manager.
An owner buying the building. An operator buys a small pad building through a related entity with an SBA 504 loan. Under the directory notes, the conditional lease assignment is not signed and the franchisor cannot enforce a purchase option on the pledged property.
A resale buyer. A buyer acquires an operating store; the lender underwrites its history, and a subordinate seller note bridges part of the price.
Common Mistakes to Avoid
- Signing a letter of intent before financing is lined up for a fast opening schedule
- Budgeting without the current FDD’s Item 7 and local contractor quotes
- Overlooking the directory notes when the building is owned by you or an affiliate
- Leaving royalty and marketing fees out of cash flow projections
- Signing a lease that ends before the loan is repaid
- Opening without enough working capital for the ramp-up
Read more in restaurant loan mistakes that cost owners the most.
Next Steps to Finance Your Little Greek Franchise
Step 1: Request franchise information. Ask about open markets, the brochure and the financial qualifications.
Step 2: Review the FDD. Read Items 5, 6, 7, 10, 17 and 19 with a franchise attorney.
Step 3: Talk with a financing specialist. Start before the letter of intent. Our SBA loan calculator gives planning estimates only; it is not an offer or approval.
Step 4: Build a full budget. Include fees, build-out, equipment, inventory, licenses, working capital and a contingency.
Step 5: Secure the site. Decide whether you will lease or own and share that early with your lender.
Step 6: Apply and close. Coordinate lender and franchisor approvals with construction, hiring and training.
Little Greek Franchise Loan FAQs
How much does a Little Greek franchise cost?
The franchise page does not publish an investment range. Item 7 of the current FDD gives the estimate, and your site and build-out choices decide where you land.
What are the franchise fee and royalty?
Items 5 and 6 of the current FDD list the initial fee, royalty and any marketing contributions.
How much liquid capital do I need?
No minimum is published; the franchisor seeks well-capitalized investors. Lenders expect cash for your equity injection plus reserves.
Is Little Greek eligible for SBA loans?
Yes. It is listed on the SBA Franchise Directory under code S1010, so eligible borrowers can apply for SBA-guaranteed financing, subject to program rules and lender approval.
Do I need restaurant experience?
The franchisor prefers multi-unit restaurant or retail experience but notes that first-time investors have succeeded with its training.
Can I use a Little Greek franchise loan to buy an existing store?
Yes, if a store is for sale and the franchisor approves the transfer. The store’s financial history will drive the loan amount.
Does Little Greek offer financing?
Item 10 of the FDD describes any financing the franchisor offers. Most owners arrange their own loans.
How long is the franchise term?
Item 17 of the FDD sets the term, renewal and transfer rules. Lenders want the term to run at least as long as the loan.
How fast can a store open?
The franchisor’s goal is no more than 120 days after a letter of intent is signed, so prepare financing early.
Final Thoughts
A Little Greek franchise loan fits an operator who wants a fast-casual restaurant with a regional track record and a quick path to opening. Verify costs in the current FDD, start financing before the letter of intent and address the SBA directory notes early if you will own your building.
US Professional Funding helps franchise owners finance new stores, acquisitions, equipment and working capital. Learn more about our franchise financing and restaurant financing programs.
