Legato Living franchise research

Investment by format

Format-specific estimates only. Do not combine one format's minimum with another format's maximum.

Investment sourceFDD p.22 ↗

Franchise fees and ongoing costs

Franchise fee

$50,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review.

Royalty

6% · Greater of 6% of monthly Gross Sales or a $1,000/month minimum (minimum waived for the first 3 months of operation)

Marketing contribution

1% (basis not captured; see original filing)

Technology fee

Currently $75/month before Home opens, rising to $225/month starting 3 months before opening and continuing thereafter (may increase up to $500/month), plus $25/month per additional email account beyond the first two

Other fees

Brand Development Fund fee (up to 2%, currently 1% of Gross Sales); Business Management System License ($300/month); Website Fee (currently $100/month, up to $200/month)

Working capital (FDD Item 7)

$58,000 – $97,200 estimated minimum additional funds to cover operating expenses (salaries, inventory, rent, utilities) for the first 3 months; excludes owner compensation, interest, and financing charges.

Fees sourceFDD p.15 ↗

Working capital is drawn from Item 7. The Investment source below locates the investment section, not an independently verified working-capital scalar.

Investment sourceFDD p.22 ↗

Franchise fee sourceFDD · page not captured ↗

Financial performance: Item 19

Item 19 captured

Yes

Metric / basis

Gross Sales and select disclosed expenses (Direct Gross Profit, expenses, and Franchise Related Expenses) reported individually for specific operational outlets, not as system-wide averages

Reporting period

2025 Calendar Year

Sample

3 of 9 Franchise Outlets (Eastridge, Legacy, and Heartland Hills); 4 New Outlets and 2 other Operational Outlets (one non-representative, one temporarily closed) were excluded

Reported average

Not captured

Reported median

Not captured

Owner income is not captured. Gross sales and EBITDA are not owner pay. Results depend on the disclosed metric, sample and period; consult the full filing.

Item 19 performance sourceFDD p.59 ↗

Unit growth: Item 20

Reporting year

2025

Scope

franchised outlets

Starting outlets

5

Year-end outlets

9

Net change

+4

Derivation

ending minus starting outlets

Openings

4

Terminations

0

Non-renewals

0

Other closures

0

Reacquisitions

0

Transfers

0

Transfers are not closures. Net change is ending minus starting outlets for the stated scope and year, or complete openings less terminations, non-renewals, other closures and reacquisitions. Missing inputs stay unknown.

Unit growth sourceFDD p.65 ↗

SBA loan history

Loan activity

8 approvals

Activity window

FY2021-FY2026 YTD; snapshot 2026-06-30

Median SBA loan

$967,500

Median loan window

FY2023-FY2026 YTD through 2026-06-30

Median loan sample

8 loans

Historical charge-off share

Suppressed: fewer than 10 seasoned loans

Cohort

7(a) FY2010-2019 approvals

Numerator / denominator

0 / 0

Formula

CHGOFF / (PIF + CHGOFF + EXEMPT) × 100

This is a historical loan-level share, not a franchise failure probability or location survival rate. Loan size is not total investment. Other loan statuses are excluded from the seasoned denominator. Activity combines 7(a) and 504 approvals, excluding canceled and not-funded records; this is not a rolling five-year count. FY2024-25 franchise tags are sparse after directory suspension; fewer tagged loans do not establish brand decline. Recent charge-off cohorts are immature.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median loan amounts are financing context, not startup cost. The median window is separate from the seasoned charge-off cohort.

Median SBA loan sourceSBA data · Jun 30, 2026 ↗

Questions before you invest

How much does Legato Living franchise cost?

Real Estate Purchase: $255,350 to $1,786,895; Real Estate Rental: $125,350 to $406,895 These are format-specific estimates, not a guaranteed cash requirement. Franchise fee: $50,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review..

Investment sourceFDD p.22 ↗

Franchise fee sourceFDD · page not captured ↗

How much do Legato Living owners make?

Owner income is not captured. Gross sales and EBITDA are not owner pay. Item 19 metric: Gross Sales and select disclosed expenses (Direct Gross Profit, expenses, and Franchise Related Expenses) reported individually for specific operational outlets, not as system-wide averages. Sample: 3 of 9 Franchise Outlets (Eastridge, Legacy, and Heartland Hills); 4 New Outlets and 2 other Operational Outlets (one non-representative, one temporarily closed) were excluded. Period: 2025 Calendar Year.

Item 19 performance sourceFDD p.59 ↗

What's the SBA charge-off rate for Legato Living?

Suppressed: fewer than 10 seasoned loans; numerator / denominator: 0 / 0. Historical 7(a) FY2010-2019 approvals; CHGOFF / (PIF + CHGOFF + EXEMPT) × 100, snapshot 2026-06-30. This is not a franchise failure probability. Median SBA loan: $967,500; window: FY2023-FY2026 YTD through 2026-06-30; sample: 8 loans. Median financing is not total investment.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median SBA loan sourceSBA data · Jun 30, 2026 ↗