RAKKAN USA Franchise
Franchising since 2017 · 1 locations
The total investment to open a RAKKAN USA Franchise franchise ranges from $379,500 - $865,000. The initial franchise fee is $20,000. Ongoing royalties are 5%. RAKKAN USA Franchise currently operates 1 locations. Data sourced from the 2026 Franchise Disclosure Document.
$379,500 - $865,000
$20,000
1
FPI Score
This franchise has not yet been scored by the Franchise Performance Index. Scores are calculated based on public FDD data, SBA loan performance, and system-level metrics.
Top SBA Lenders for RAKKAN USA Franchise
What is the RAKKAN USA Franchise franchise?
Rakkan Ramen, operating under the Rakkan Usa Franchise franchise system, originated in the vibrant culinary landscape of Tokyo, Japan, in 2011, founded by the visionary Chef Ryohei Ito. Chef Ito’s compelling journey began after high school, taking him across more than 50 countries, where he observed a notable scarcity of truly authentic Japanese dining experiences globally. This profound realization ignited his passion and inspired him to establish a brand that would bring genuine Japanese flavors, particularly through the art of ramen, to a worldwide audience. His initial venture was a modest yet impactful four-seater ramen bar situated in Nishi Azabu, Tokyo, setting the stage for what would become an internationally recognized brand. The expansion of Rakkan Ramen into the United States commenced in 2017, marking a significant milestone with the opening of its inaugural U.S. location in the bustling city of Los Angeles, California. The overarching parent company responsible for this expansion and the franchise system is Rakkan USA Franchise, LLC. Leadership within the U.S. operations includes Manabu Kamatani, who serves as the Chief Operating Officer (COO) for RAKKAN USA Inc. Mr. Kamatani has played a pivotal role in the brand’s American growth, having managed the initial UAKKAN DTLA restaurant in Los Angeles since 2017 and subsequently overseeing the RAKKAN Redondo Beach location since July 2018. The corporate headquarters for Rakkan USA Franchise, LLC is precisely located at 1025 W. 190th St., #160, Gardena, CA 90248. The company formally embraced the franchise model in 2019, extending its unique offering to prospective business owners. As of December 2022, the corporate headquarters employed a dedicated team of 8 individuals, underscoring its commitment to supporting the growing network. The brand’s core philosophy, deeply rooted in the belief that "broth is the soul of cuisine," underpins its unique culinary identity, distinguishing it in the rapidly expanding ramen and fast-casual dining sectors through its emphasis on authentic Japanese ramen with a health-conscious twist, primarily utilizing a 100% plant-based broth. This distinctive approach positions the Rakkan Usa Franchise franchise strategically within a dynamic and evolving market.
The industry landscape in which the Rakkan Usa Franchise franchise operates is characterized by significant and sustained growth within the ramen and broader fast-casual dining sectors. This robust expansion is predominantly fueled by an increasing global consumer demand for dining options that are not only healthier but also plant-based and inspired by diverse international cuisines. The popularity of Asian food concepts, including ramen, has seen a remarkable surge across North America and around the world, creating a fertile ground for specialized brands. Rakkan Ramen distinguishes itself within this competitive yet burgeoning market by specializing in authentic ramen crafted with a unique 100% plant-based broth. This innovative approach directly caters to a diverse and expanding demographic of health-conscious diners, as well as the growing communities of vegans and vegetarians. The plant-based broth, a cornerstone of the Rakkan Usa Franchise franchise's appeal, offers substantial health benefits, reportedly containing 40% fewer calories compared to traditional tonkotsu ramen, a popular pork-based broth. Beyond its health advantages, the plant-based broth provides several key operational benefits that contribute to the efficiency and profitability of a franchise unit. These include significantly lower ingredient costs, estimated to be approximately 30% less than those associated with animal-derived broths, thereby improving profit margins. Furthermore, the use of a plant-based broth reduces the stringent hygiene management requirements typically associated with animal products, necessitating less sanitizing food preparation. It also allows for lower capital investment due to reduced duct requirements in kitchen setups, a quicker cooking time of just one hour for the soup, and notably lower gas costs, estimated at 65% less. These operational simplifications mean that the daily running of a Rakkan Usa Franchise franchise unit is streamlined, potentially reducing the need for highly veteran chefs and broadening the pool of suitable candidates for staff. The menu thoughtfully extends beyond ramen to include a variety of appetizers, sushi, and rice bowls, ensuring a broad appeal to a wide customer base seeking authentic Japanese flavors with modern, health-conscious options.
Investing in a Rakkan Usa Franchise franchise involves a series of financial commitments designed to establish and operate a successful outlet. The initial franchise fee for joining the system is $20,000, which is typically paid upfront upon the signing of the franchise agreement. This fee grants the franchisee the fundamental right to utilize the franchisor's established trademarks, brand name, and proprietary business systems. However, it is important to note that a source from the March 2025 FDD indicates a broader range for the initial franchise fee, specifically from $32,000 to $54,000. For individuals or entities looking to develop multiple units, a development fee of $20,000 per restaurant, multiplied by the total number of restaurants scheduled for development, is payable upon the signing of the multi-unit development agreement. The estimated total initial investment required to open and operate a Rakkan Ramen outlet spans a range from $379,500 to $865,000. Other credible sources provide slightly different investment ranges, such as $400,000 to $900,000 or $293,000 to $897,000, reflecting variations that may depend on location, size, and specific build-out requirements. This comprehensive investment covers a multitude of essential startup expenses, including the initial franchise fee, real estate costs, necessary equipment, initial supplies, business licenses and permits, and crucial working capital to sustain operations during the initial phase. A detailed breakdown of specific initial investment costs further clarifies the capital requirements. These include an Initial Training Fee of $10,000, along with training expenses covering travel, meals, lodging, and salaries, estimated between $10,000 and $20,000. Grand Opening advertising and promotion costs are projected to be between $3,000 and $8,000. Real property lease or rental agreements, including security deposits, range from $6,000 to $15,000. Significant costs are associated with real property lease construction, remodeling, leasehold improvements, and decorating, which, net of landlord contributions, are estimated between $200,000 and $550,000. Equipment, fixtures, and other fixed assets require an investment of $60,000 to $110,000. A Point of Sale system, encompassing cash registers, computer systems, and setup fees, alongside telecommunications, ranges from $7,500 to $11,000. Signage costs are estimated between $5,000 and $20,000, and the initial inventory and supplies needed to commence operations are between $16,000 and $20,000. Beyond the initial investment, franchisees are subject to ongoing fees, including a royalty fee of 5% of their gross sales. An advertising fund, or national brand fund, fee of 1% of gross sales is also required to contribute to the brand's collective marketing and promotional efforts, although some sources cite a range of 2% to 4% for this fee. To qualify as a franchisee, candidates are typically required to possess at least $200,000 in liquid capital, though another source from October 2025 specifies a lower liquid capital requirement of $50,000. A minimum net worth of $200,000 is also generally required, with another source from October 2025 stating a higher minimum net worth of $500,000.
The Rakkan Usa Franchise franchise provides a comprehensive training program and a robust support structure designed to equip its franchisees for operational success. The initial training program is meticulously structured and spans a total of 15 days. This intensive period includes 14 hours of classroom-based instruction, providing foundational knowledge, alongside 81 hours of practical, hands-on, on-the-job training. In total, franchisees receive 95 hours of dedicated training, which covers all essential aspects of operating a Rakkan Ramen outlet. This includes critical areas such as precise food preparation techniques to maintain brand consistency, effective hiring practices for building a strong team, strategic marketing approaches to attract and retain customers, and efficient operational procedures to ensure smooth daily workflow. Beyond the initial training, franchisees benefit from a suite of robust support services. This support includes invaluable assistance with market and site research, helping franchisees identify optimal locations for their establishments. The franchisor also provides master floor plans and expert guidance on store design, ensuring brand consistency and operational efficiency across all locations. The corporate headquarters (HQ) staff offers continuous aftercare, providing ongoing assistance and troubleshooting support. Franchisees are also equipped with a range of marketing tools to promote their local businesses and receive operational manuals that serve as detailed guides for daily management. Furthermore, support for seasonal menu development is provided, allowing franchisees to introduce new and exciting items that keep the menu fresh and appealing to customers throughout the year. Franchisees also gain exclusive access to proprietary software systems, streamlining various business processes. The brand emphasizes the "simple operation that can be mastered in only 15 days of training," highlighting the efficiency and accessibility of its business model. To protect the investments of its franchisees and foster a healthy business environment, the Rakkan Usa Franchise franchise offers territory protection. This policy ensures that each franchise location operates within a clearly defined geographic area, thereby significantly reducing potential competition from other nearby Rakkan Ramen outlets. This strategic approach helps franchisees establish a strong local presence, maximize their market potential, and ultimately safeguard their investments, promoting a fair and equitable business ecosystem. The Rakkan Usa Franchise franchise is flexible in its approach to ownership, accepting both single and multi-unit franchises, catering to a diverse range of entrepreneurial aspirations.
While the Rakkan Usa Franchise franchise offers an Item 19 in its Franchise Disclosure Document (FDD), which is designed to provide financial information regarding select franchisees within its system, specific detailed figures concerning average revenue per unit, median revenue, or precise profit margins for Rakkan Ramen franchisees are not explicitly disclosed in the public search results. Item 19 of an FDD contains financial performance representations, often referred to as earnings claims, though franchisors are not legally obligated to include this section. When included, however, the data presented must be based on actual franchise performance, and the franchisor is required to clearly explain the methodologies used to calculate these numbers, with supporting documentation available upon request. Despite the absence of specific revenue or profit figures, a significant note emerges regarding the franchisor's financial health, as revealed in its 2024 financial statements. These statements reportedly indicated considerable weakness within the parent company. Specifically, the net income experienced a substantial drop, falling from over $200,000 in 2023 to a mere $6,153 in 2024. This precipitous decline was accompanied by a large increase in operating expenses, further straining the franchisor's financial position. The balance sheet for 2024 also revealed a new $40,000 allowance for credit losses and the presence of substantial cash loans that had been made to an affiliate. These identified factors collectively suggest a potential risk to the franchisor's capacity to adequately support its franchisees and sustain the brand's growth trajectory, primarily due to what appears to be strained financial resources within the corporate entity. The rapid system growth experienced by the Rakkan Usa Franchise franchise, particularly the doubling of its units from 6 to 12 in 2023, when combined with these observed financial weaknesses, could potentially place additional strain on the franchisor's support infrastructure, raising questions about its ability to maintain consistent and high-quality support for its expanding network of franchisees.
The Rakkan Usa Franchise franchise has demonstrated a notable growth trajectory since its inception in 2011, evolving from its modest beginnings in Tokyo. The brand initially commenced operations with four outlets located in its home city of Tokyo. By December 2021, the total number of stores in operation had expanded to 11 units. The growth accelerated significantly in the United States, with Rakkan Ramen reaching 12 franchised outlets in the US by 2023, representing a substantial doubling of its footprint from just 6 franchised units in 2022. However, as of March 2026, the total number of units is reported as 9, indicating a dynamic and evolving unit count. The U.S. franchised locations are strategically situated across several states, including California, Colorado, Georgia, Illinois, Nevada, and Texas, showcasing a deliberate expansion strategy across key markets. Rakkan Ramen harbors ambitious expansion plans, projecting to achieve a remarkable milestone of 100 locations by 2025. The company is actively engaged in offering new franchises not only throughout the U.S. but also on a global scale. It is earnestly seeking passionate partners to facilitate the introduction and growth of the Rakkan Ramen brand across diverse international markets, including North America, Europe, and various regions of Asia, specifically mentioning Japan as a target for re-entry and expansion. The brand is currently authorized to sell franchises in both the U.S. and Canada, underscoring its commitment to North American market penetration. The brand’s impressive growth and innovative concept have not gone unnoticed; Rakkan Ramen secured a respectable #408 ranking in Entrepreneur's prestigious 2025 Franchise 500 list, a testament to its operational strength and market appeal. A significant competitive advantage of the Rakkan Usa Franchise franchise lies in its unique specialization in 100% plant-based broth. This distinctive offering caters directly to the burgeoning segment of health-conscious diners, vegans, and vegetarians, allowing the franchise to capitalize on contemporary dietary trends. Furthermore, the operational simplicity and cost savings inherently associated with the plant-based broth, such as reduced ingredient costs and streamlined hygiene management, provide a distinct advantage for franchisees in terms of efficiency and profitability. This Rakkan Usa Franchise franchise is strategically positioned to capitalize on the booming ramen market through its innovative and health-focused approach.
While direct franchisee testimonials or specific reviews are not available within the provided search results, the Rakkan Usa Franchise franchise clearly outlines the profile of an ideal franchisee it seeks to attract. The franchisor is primarily looking for passionate, hands-on entrepreneurs who demonstrate a strong commitment to delivering exceptional customer service and upholding operational excellence. Prospective candidates should possess genuine enthusiasm for health-focused dining and a deep appreciation for authentic Japanese cuisine, aligning with the core values of the Rakkan Ramen brand. A solid business acumen is considered essential for managing the complexities of a restaurant operation. Franchisees are expected to be prepared to actively engage in the daily operations of their outlets, as an absentee ownership model is explicitly not permitted, ensuring direct involvement in the business’s success. While prior restaurant experience is not a mandatory requirement, a steadfast dedication to maintaining high standards of quality and fostering strong community engagement is deemed essential for all franchisees. The Rakkan Usa Franchise franchise highlights its "simple, proven business model" and comprehensive franchisee support as key benefits designed to attract and empower potential franchisees. The unique selling proposition of its 100% plant-based broth is presented as a significant advantage, enabling franchisees to effectively capitalize on the booming ramen market and the rapidly increasing demand for vegan and vegetarian dining options. The inherent operational simplicity of the Rakkan Usa Franchise franchise, which includes advantages such as reduced ingredient costs, streamlined hygiene management requirements, and quicker cooking times, suggests a more efficient and manageable daily operation for franchisees, enhancing their potential for success. To further support its franchisees, the Rakkan Usa Franchise franchise provides territory protection, ensuring that each franchise location operates within a defined geographic area. This policy is designed to reduce internal competition from nearby Rakkan Ramen outlets, thereby helping franchisees establish a strong local presence and maximize their market potential. This strategic approach ultimately safeguards their investments and promotes a fair and cooperative business environment. The Rakkan Usa Franchise franchise is inclusive in its partnership approach, accepting both single and multi-unit franchises, catering to diverse investment strategies.
The Rakkan Usa Franchise franchise presents a compelling investor opportunity within the rapidly expanding fast-casual ramen sector, distinguishing itself through its commitment to authentic Japanese flavors and a unique 100% plant-based broth. Established in Tokyo in 2011, the brand expanded to the U.S. in 2017 and officially began franchising in 2019, demonstrating a clear strategic vision for growth. Its trajectory has seen expansion from an initial four outlets in Tokyo to 12 franchised units in the U.S. by 2023, showcasing a significant scaling capability, although the total number of units was reported as 9 as of March 2026. The franchise maintains ambitious plans to reach 100 locations globally by 2025, targeting key markets across the U.S., Canada, Europe, and Asia. Financially, the initial franchise fee is $20,000, with a broader range of $32,000 to $54,000 cited in the March 2025 FDD, and the total initial investment ranges from $379,500 to $865,000. Ongoing financial commitments include a 5% royalty fee and a 1% advertising fee of gross sales. Franchisees benefit from a comprehensive 15-day training program and continuous corporate support, designed to simplify operations. While an Item 19 FDD is available for financial performance insights, specific average revenue or profit figures are not publicly detailed. A critical consideration for potential investors is the franchisor's financial health, with 2024 statements revealing a net income drop to $6,153 from over $200,000 in 2023, coupled with increased operating expenses and substantial cash loans to an affiliate, indicating potential financial strain for the parent company. Despite these corporate financial nuances, the brand's unique market position, operational advantages from its plant-based model, and ambitious global expansion plans continue to underscore its potential. The Rakkan Usa Franchise franchise actively seeks passionate and hands-on entrepreneurs to join its expanding network. Explore the complete Rakkan Usa Franchise franchise profile on PeerSense to access the full suite of independent franchise intelligence data.
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for RAKKAN USA Franchise based on SBA lending data
Investment Tier
Significant investment
$379,500 – $865,000 total
Why RAKKAN USA Franchise Doesn't Appear in Public SBA Data
The SBA 7(a) program publishes loan-level data for every approved franchise borrower. RAKKAN USA Franchise does not currently appear in those public records — and that absence carries useful information for prospective franchisees evaluating this brand.
Likely explanations for the absence
- With under 25 units system-wide, transaction volume is small enough that any SBA activity could fall below the reporting visibility threshold in any given fiscal year.
Absence from SBA records does not mean a brand is un-fundable. It typically means the franchise system uses alternative capital sources, or that current franchisees self-fund, secure conventional bank financing, or roll over equity from a prior business sale rather than going through an SBA-guaranteed 7(a) loan. For prospective RAKKAN USA Franchise franchisees, the practical question is which financing path actually closes for this brand's profile.
Capital paths PeerSense places for food, restaurant & retail concepts
SBA 7(a) Loans
Build-out, unit acquisition, and working capital for food and retail franchises.
Learn more
Equipment Financing
Kitchen equipment, POS systems, and capital-intensive build-outs.
Learn more
Franchise Partner Buyout Financing
Senior debt for partner buyouts and multi-unit roll-ups.
Learn more
Commercial Real Estate Loans
Owner-occupied or investor-owned restaurant real estate.
Learn more
Payment Estimator
Estimated Monthly Payment
$3,929
Principal & Interest only
Locations
RAKKAN USA Franchise — unit breakdown
Explore Funding for RAKKAN USA Franchise
Our business financing consultants help connect you with the right lending partners. No retainers — referral fee paid at closing.
Or get an instant analysis
Scan Your Deal Instantly1 FDD Available for RAKKAN USA Franchise
Review franchise fees, investment ranges, royalties, Item 19 financial data, and year-over-year trends. Request complimentary access through your PeerSense funding advisor.