How to Finance a Mr. Charlie’s Told Me So Franchise: Plant-Based
By Chris Cornella
A Mr. Charlie’s Told Me So franchise loan funds a plant-based fast food restaurant built around a playful, mission-driven brand. Because the concept is young and is moving from a small group of restaurants into franchised development, the financing plan has to cover a full restaurant build-out, kitchen equipment and opening reserves without the long operating history lenders see with older chains.
This article explains what the company says about the brand, what to confirm in its Franchise Disclosure Document (FDD), how its SBA Franchise Directory listing and lease note affect your options, and how lenders evaluate a Mr. Charlie’s Told Me So franchise loan request.
US Professional Funding is not affiliated with, sponsored by or endorsed by Mr. Charlie’s Told Me So; the name is used only to describe the business. Figures from the franchisor’s disclosure document can change, loan programs and terms vary by lender and borrower, and every loan is subject to lender review and approval. Nothing here is legal, tax or investment advice, and buyers should review the current FDD and franchise agreement with a qualified franchise attorney and accountant.
Mr. Charlie’s Told Me So Franchise Loan at a Glance
- Concept: plant-based fast food with a familiar burger-and-fries menu, signature items such as the “Not a Cheeseburger” and the Frowny Meal, and a stated mission of offering second chances.
- Footprint: the company reported restaurants in Los Angeles, San Francisco and Sydney, Australia, in its May 2025 announcement.
- Development: the same announcement described an 18-location development agreement for Arizona, with the first store planned for Scottsdale.
- Franchise availability: the company says franchises are offered only in select U.S. states where it is licensed to franchise.
- Fees, investment and owner requirements: not published in the company’s public announcements; they appear in Items 5, 6 and 7 of the current FDD.
- SBA Franchise Directory: listed under code S8260, with a note about the lease addendum when real estate secures the loan.
What Is Mr. Charlie’s Told Me So?
Mr. Charlie’s Told Me So, often shortened to Mr. Charlie’s or TMS, is a plant-based quick-service brand. The company describes its goal as proving that fast food can be ethical, joyful and purposeful while still tasting good, and it emphasizes sustainability, community impact and fun. It calls its restaurants places where “second chances are served daily.”
Menu and positioning. The menu imitates familiar fast food formats, with burgers, fries and boxed meals, but every item is plant-based. The tongue-in-cheek names, such as the “Not a Cheeseburger” and the Frowny Meal, are a central part of the brand’s identity.
From first restaurants to franchising. The company has operated restaurants in California and in Sydney. In May 2025 it announced an 18-store development agreement for Arizona as part of what it called a nationwide franchise rollout. The franchised network is still being built.
Why lenders see it as an emerging brand. Lenders like a simple menu and a recognizable concept but weigh the limited franchise history. Expect a lender reviewing a Mr. Charlie’s Told Me So franchise loan to lean heavily on your own experience, your liquidity and a realistic sales ramp rather than on a long system track record.
Mr. Charlie’s Told Me So Franchise Costs
The company has not published its franchise fee or estimated initial investment in its public announcements. Request the current FDD and use Items 5, 6 and 7 as your budget source; a lender will do the same.
Initial franchise fee. Item 5 shows the fee for a single restaurant and any area development or multi-unit fees. In a development deal, fees for future stores may be due at signing.
Real estate and build-out. Most stores will occupy leased retail space. Build-out typically covers kitchen ventilation, plumbing, electrical work, flooring, restrooms, seating and the brand’s signature decor. Our article on financing a restaurant build-out explains how lenders draw and disburse construction funds.
Equipment. Expect cooking and holding equipment for burgers and fries, refrigeration, prep tables, beverage systems, point-of-sale and ordering technology, and menu boards.
Opening costs and working capital. Opening inventory, hiring and training, grand opening marketing, deposits, insurance and professional fees all come before the first sale. The FDD’s additional funds line shows the franchisor’s estimate of cash needed for the early months.
Total investment. When you read Item 7, check these lines:
- Initial franchise fee and any development fee
- Leasehold improvements and construction
- Kitchen equipment, furniture and fixtures
- Signage, decor and technology
- Opening inventory and supplies
- Training, grand opening and pre-opening payroll
- Deposits, permits, licenses and insurance
- Additional funds for the initial operating period
Ongoing Fees and How They Affect Your Loan
Item 6 of the FDD lists royalty, marketing or brand fund contributions, technology fees, transfer and renewal fees and any local advertising requirement. Confirm each one in the current document.
Why lenders care. Royalties and brand fund contributions are usually a percentage of gross sales, so they come out before rent, labor and debt service. Lenders build them into projections first, then test whether the remaining cash flow comfortably covers loan payments.
Food cost. Plant-based ingredients can be priced differently from conventional inputs. Ask which items come from approved suppliers and model food cost realistically.
Franchisor Requirements for New Owners
The company has not published minimum net worth or liquid capital figures in its public announcements. The FDD and the franchise application will set them. Its own description of its development approach offers a clue: the CEO described the formula as “the right concept, in the right locations, with the right operator.”
Expect the review to focus on:
- Restaurant or multi-unit operating experience
- Liquid capital available for your equity injection and reserves
- Your ability to secure strong sites in your market
- For area developers, a schedule for opening multiple stores
The approval process. Financing usually runs in parallel once you have the FDD and a working site plan.
Ways to Own a Mr. Charlie’s Told Me So Restaurant
A new restaurant. This is the main path for an emerging brand. A new store is financed as a start-up, so lenders rely on your experience, your equity and your projections. Our page on franchise start-up financing covers how these loans are structured.
Area development. The Arizona agreement shows the company signs multi-store deals, which require a financing plan for each store on the schedule.
Buying an existing franchised store. A resale gives a lender real sales history, but it requires franchisor approval and a transfer. Read about buying a franchise resale before making an offer.
Financing Options for a Mr. Charlie’s Told Me So Franchise
SBA 7(a) loans. Because the brand is on the SBA Franchise Directory, an SBA 7(a) loan can fund build-out, equipment, franchise fees, opening inventory and working capital in one package.
SBA 504 loans. If you buy or build the property where the restaurant will operate, an SBA 504 loan may finance the real estate and long-lived equipment.
Conventional term loans. Borrowers with strong liquidity and restaurant experience may qualify for conventional business loans, especially for a second or third store.
Equipment financing. Fryers, griddles, refrigeration, ventilation hoods, beverage systems and ordering kiosks can be financed separately. See our restaurant equipment financing and leasing options.
Working capital and lines of credit. A new restaurant needs cash for payroll, inventory and marketing while sales build. Lenders want reserves that last beyond opening-week buzz. Learn more about restaurant working capital.
Seller financing on resales. If you buy an existing store, a seller may carry part of the price. Any seller note would have to be acceptable to the senior lender, is typically subordinate, and SBA programs may limit how it is used.
SBA Loans for Mr. Charlie’s Told Me So Franchisees
The SBA Franchise Directory lists brands whose franchise agreements have been reviewed for SBA eligibility. Mr. Charlie’s Told Me So is listed under code S8260, which means an SBA lender can consider a loan to one of its franchisees without a separate review of the franchise relationship.
What the directory note means. The listing carries this note: when the real estate where the franchise business is located will secure the SBA-backed loan, the Lease Addendum may not be executed. In plain English, a franchisor’s lease addendum is used when the franchisee rents its space; it gives the franchisor certain rights in the lease. If you own the property and pledge it as collateral, there is no third-party lease to amend, and the addendum should not be signed.
Program limits. The SBA 7(a) program maximum is currently $5 million, though program rules can change.
Application tips. Bring the FDD, franchise agreement, a lease or letter of intent, contractor and equipment quotes, tax returns, a personal financial statement and a business plan. Our SBA loan calculator can help with early payment estimates, which are for planning only.
How Lenders Evaluate a Mr. Charlie’s Told Me So Deal
Credit, net worth and liquidity. Lenders review your credit, tax returns and debts. You need cash for the equity injection plus reserves after closing.
Industry and management experience. Restaurant management, especially quick-service or multi-unit experience, is one of the strongest factors in an approval.
Business plan and projections. Build a month-by-month ramp. Show how your local market supports a plant-based menu. Include royalty, brand fund, food cost, labor, rent and debt service.
The FDD and franchise agreement. Lenders review term, renewal, transfer, territory and default provisions; see our article on FDD franchise financing. Check whether the FDD includes financial performance representations in Item 19; if it does not, your projections must stand on their own.
Site and lease. The lease term should generally match or exceed the loan term.
Resale financials. For an existing store, expect to provide the seller’s statements and tax returns.
Equipment and Build-Out Deep Dive
Equipment is a large share of any Mr. Charlie’s Told Me So franchise loan. A plant-based burger kitchen looks a lot like any other burger kitchen: griddles, fryers, holding cabinets, refrigeration, freezer capacity and a ventilation hood system. Specialty items may include soft-serve or dessert machines and beverage dispensers. Front-of-house costs include seating, decor, digital menu boards and ordering technology. Some owners finance equipment separately; others roll everything into one SBA 7(a) loan.
Multi-Unit Growth and Development Agreements
The company’s growth is being driven by development agreements. For an area developer, each new store is a separate financing event. Lenders will look at the performance of your first stores before funding later ones, so a strong opening makes the next loan easier.
Plan the schedule with financing in mind. Make sure your development schedule leaves time to stabilize each store, rebuild reserves and assemble the next loan package. Our article on multi-unit franchise financing explains how lenders underwrite a growing portfolio.
Real-World Scenarios
A restaurant operator adding a new concept. An experienced quick-service operator signs for one store in a leased storefront. The operator uses an SBA 7(a) loan for build-out, equipment and opening costs, with reserves drawn from existing businesses.
An area developer opening in phases. A developer signs a multi-store agreement. The first store is financed with an SBA 7(a) loan, and later stores are financed once the first shows stable sales.
An owner who buys the building. A franchisee buys a small freestanding building and uses an SBA 504 loan for the property. Because the real estate secures the loan, the lender confirms that the lease addendum is not used.
Common Mistakes to Avoid
- Borrowing against a range in Item 7 instead of real quotes for your site
- Underestimating working capital after opening-week traffic settles
- Signing a development schedule your financing cannot support
- Ignoring the SBA directory note when you plan to own the real estate
- Assuming plant-based ingredient costs match conventional fast food
For more pitfalls, read the restaurant loan mistakes that cost owners the most.
Next Steps to Finance Your Mr. Charlie’s Told Me So Franchise
Step 1: Request the FDD and confirm your state. The company franchises only in select states where it is licensed. Review the FDD with a franchise attorney and accountant.
Step 2: Talk with a financing specialist. Learn what equity injection and reserves you will need before signing.
Step 3: Secure a site. Negotiate a lease or purchase with financing in mind, and decide early whether you will lease or own.
Step 4: Build your budget and projections. Use contractor and equipment quotes, and model a realistic ramp.
Step 5: Apply for financing. Submit your complete package and coordinate timing with franchisor approval.
Step 6: Close and open. Fund construction, order equipment, train staff and keep reserves in place before your Mr. Charlie’s Told Me So franchise loan funds the final draw.
Mr. Charlie’s Told Me So Franchise Loan FAQs
How much does a Mr. Charlie’s Told Me So franchise cost?
The company has not published its total investment in its public announcements. Item 7 of the current FDD shows the estimated range, and your actual cost depends on your site, build-out and market.
What is the franchise fee?
The franchise fee appears in Item 5 of the FDD. Development agreements may carry additional fees for future stores.
Is Mr. Charlie’s Told Me So eligible for SBA loans?
Yes. The brand is listed on the SBA Franchise Directory under code S8260. Each borrower still has to qualify.
What does the SBA directory note mean?
If the real estate where your restaurant operates will secure the SBA-backed loan, the franchisor’s lease addendum should not be executed. The addendum applies to leased sites.
Can a first-time owner get financing?
It is possible, but lenders weigh restaurant management experience heavily for a young brand. A partner or general manager with quick-service experience can strengthen an application.
Can I open multiple locations?
The company is signing development agreements, including an 18-store agreement in Arizona. Each additional store typically requires its own financing.
Can I finance equipment separately?
Yes. Kitchen equipment, refrigeration and ordering technology can often be financed with equipment loans or leases.
What documents will a lender ask for?
Expect the FDD, franchise agreement, lease or letter of intent, quotes, tax returns, a personal financial statement and a business plan.
Does the franchisor offer financing?
Check Item 10 of the FDD, which discloses any financing the franchisor offers. Most franchisees arrange their own loans.
Does the FDD include financial performance information?
Review Item 19 of the current FDD to see whether it includes financial performance representations. If it does not, ask existing franchisees about their experience and keep your projections conservative.
Final Thoughts
Mr. Charlie’s Told Me So offers a distinctive, mission-driven take on fast food, and it is growing through franchised development. Buyers who bring restaurant experience, secure a good site and plan for a realistic ramp give themselves the best chance at approval.
US Professional Funding helps franchise owners and buyers finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing and restaurant financing solutions.
