FDD ITEM 20 · FISCAL 2021–2024
Shah's Halal Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2024), Shah's Halal reported 58 franchised outlets at year end. 1 of 39 franchised outlets open at the start of the year left the system — an annualized exit rate of 2.6%— while 20 new outlets opened. Systemwide units moved +516.7% over 2021–2024.
| Status (FTC) | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Outlets at start | 12 | 12 | 27 | 53 |
| Opened | 0 | 11 | 25 | 20 |
| Transfers | 0 | 0 | 2 | 2 |
| Terminations | 0 | 0 | 0 | 1 |
| Non-renewals | 0 | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 | 0 |
| Outlets at end | 12 | 27 | 53 | 74 |
| Net change | 0 | +15 | +26 | +21 |
1 terminations + 0 non-renewals + 0 ceased (other) = 1 exits ÷ 39 at start = 2.6%
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (2) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing Shah's Halal's numbers, including talking you out of a bad deal.
Talk to an independent CPA before you buy →