FRANCHISE·WATCH·DESK

Loan record only — SBA data verified, FDD not yet in our corpus

SBA-eligible · directory code S1922 since 2017

Wienerschnitzel

Food & Dining · independent · est. —

Wienerschnitzel is a quick-service chain known for hot dogs, chili dogs, and other value-priced fast food. A franchisee operates a small-format restaurant, often with a drive-thru, serving quick meals to local customers.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Not enough disclosure

Distress

0
STABLE

No verified FDD extraction to judge from. Any figures shown are labelled sample data or independent federal records.

SBA loan defaults

19.8%

vs 14.8% avg across rated brands

Behind the verdict

the record, factor by factor · Item 20

No score available.

Systemwide units

Insufficient trend data.

What this page is — and isn'tno FDD on file

We hold no Franchise Disclosure Document for Wienerschnitzel, so this page carries no exit rate, fees, investment range, or Item 19 earnings claim. What it does carry is the federal loan record: every SBA 7(a) and 504 loan made to a Wienerschnitzel franchisee since 1991 and how each one ended. That is an independent, sourced measure of how the brand's owner-operators actually fared — and for most brands it is the only outcome data that exists publicly.

Brands enter the index this way when they don't register in the states we crawl. We add the filing when we obtain it — see methodology for how coverage is built and what each evidence level means.

The lender's view

SBA 7(a)/504 loan performance · FY1991–present

Banks have made 142 SBA-backed loans to Wienerschnitzel franchisees since 1991. Of the 101 that have resolved, 19.8% were charged off (defaulted) rather than paid in full, versus 14.8% across 576 rated brands.

Charge-off rate

19.8%

20 of 101 resolved defaulted

Loss given default

58.3%

avg. charged-off $ ÷ approved $

Expected loss

11.5%

default rate × loss severity

Avg. loan · FY2020+

$664,294

what recent franchisees borrowed

Median time to default

89 mo

approval → charge-off, defaulted loans

Lenders · FY21+ vs FY16–20

8 vs 9

distinct banks still lending

Charge-off rate by loan approval year (%)

20'9830604330'0300200'15

SOURCE: SBA 7(a)/504 FOIA LOAN DATA (DATA.SBA.GOV), FY1991–PRESENT · MATCHED TO WIENERSCHNITZEL BY FRANCHISE NAME · RESOLVED = CHARGED-OFF + PAID-IN-FULL

The owner's side of the deal

FDD × federal loan record

Who finances it

Fifth Third Bank

16.3% of this brand's loans

That lender charges off 28.1% of its loans to other franchise brands, vs 14.8% nationally.

Who buys it

70.2%

first-time franchise owners

The rest already owned at least one other franchise. Across the corpus, brands bought mostly by repeat operators charge off at roughly 10% versus 17% for brands sold mostly to newcomers.

Does experience help here?

+27.7pp

multi-unit vs single-unit owners

Owners of multiple units default at 46.7%; single-unit owners at 19.0%.

Computed from 142 SBA 7(a)/504 loans to Wienerschnitzel franchisees joined to the brand's own FDD. Debt service assumes level amortization at the average disclosed term and rate. A lender's rate excludes its loans to this brand, so it reads the lender, not the brand.

Labor record

US Dept. of Labor enforcement · franchisee-level · FY2005–present

Federal investigators have concluded 22 wage cases against operators of this system, recovering $43K in back wages for 95 workers, including 3 child-labor cases. Some of these cases are recent, not ancient history. These cases name franchisee-owned locations, not the franchisor itself.

Concluded cases

22

Back wages owed

$43K

Employees affected

95

Since 2020

1

3 of these cases involved child-labor violations, covering 8 minors across the system's franchised locations.

Read this carefully. The employers in these cases are individual Wienerschnitzel franchisees — separately owned businesses operating under the brand name — not Wienerschnitzel itself. The franchisor is not the respondent and in most cases is not a party. What the record shows is how this system's operators run their payrolls, which is worth knowing before you become one of them. Counts rise with system size and with age: a 20-year-old, 10,000-unit system will out-count a young one regardless of conduct. Source: DOL Wage and Hour Division concluded compliance actions, FY2005–present, most recent finding 2021.

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for Wienerschnitzel. That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing Wienerschnitzel's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →
Wienerschnitzel franchise: SBA loan defaults & failure rate (2026) · Franchise Watch Desk