RAKKAN Ramen
Company Information
1025 W. 190th St., Suite 160
We are the franchisor for the RAKKAN system. Our principal business address is 629 S Pacific Coast Hwy, Redondo Beach, California 90277. Our affiliated entity RAKKAN USA INC. (“RAKKAN USA”), a California corporation, whose principal business address is 359 East First Street, Los Angeles CA, operates two restaurants (opened in July 2017 and July 2018) that are equivalent to the ramen restaurant business that you would operate. Our affiliated entity RAKKAN USA LONG BEACH, LLC (“RAKKAN LONG BEACH”), a California limited liability company, whose principal business address is 5242 East 2nd Street, Long Beach CA, operates one restaurant (opened in November 2020) that is equivalent to the ramen restaurant business that you would operate.We are a limited liability company organized in California on January 22, 2019.
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Franchise Rating
Franchimp Summary Rating
8/10
Earning Transparency
7/10
Investment Accessibility
8/10
Summary of potential earnings
$1,565,276 / unit
Average Revenue During 2019Restaurants (Sit-Down)
Franchise System Development
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Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $42,000 Maximum: $44,000
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $389,500 Maximum: $875,000
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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