Clozetivity
Clozetivity franchises operate businesses that design, sell, and install closet systems and organizational units for homes, home offices, garages, and other residential and commercial spaces using a proprietary business system, including specific supplies, manuals, and trademarks. The franchisor licenses this system to franchisees for operation within designated territories, with franchisees providing on-site services at customer locations. The target market primarily includes residential customers seeking home organization solutions, competing with local service providers, contractors, and retailers.
Franchise Costs
Escalating fixed monthly royalty (Single Territory: $400 in months 1-6 to $2,000 in months 37+) + up to 2% brand development fund (currently not assessed) + $159/mo software fee
Financial Performance
Item 19 Financial Performance
Data Based On: 11 franchisees (Represented Franchise Owners) collectively owning 25 Clozetivity Businesses, who have owned their businesses at least one year and operated throughout all of 2023.
* The sum of 'Number of Owners' in the segmented categories (1+3+3+2+3+1 = 13) does not match the 'TOTAL' number of owners (11) provided in the table and text. Therefore, the 'Average Revenue per owner' from the 'TOTAL' row ($512,116) was used for average_gross_revenue. Revenue for top and bottom quartiles are taken directly from the '1st Quartile' and '4th Quartile' 'Average Revenue per owner' values respectively. The document explicitly states: 'This financial performance representation does not report other variable costs or fixed operating expenses, or other costs or expenses that must be deducted from the revenue figures to obtain net income or profit.' Therefore, no net income, net profit, EBITDA, or estimated profit range could be extracted.
Extracted Item 19 Section
How Clozetivity Compares
Key Insights
- Lower investment than 76% of Home Improvement franchises
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
Clozetivity Current | $82K – $158K | $39K | N/A | 57 |
| BUDGET BLINDS | $101K – $211K | $20K | 3.5% | 1,366 |
| Koala Insulation | $195K – $242K | $50K | 6.5% | 333 |
| CERTA PROPAINTERS | $171K – $321K | $65K | N/A | 303 |
| FCI | $184K – $249K | $55K | 5.0% | 288 |
| That 1 Painter | $113K – $189K | $59K | 6.0% | 265 |
Home Improvement Average 63 franchises | $139K – $246K | $51K | 6.2% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 63 Home Improvement franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2023)
Outlets by state across the United States
+4 more states
Due Diligence
Litigation (Item 3)
Primarily fraudulent inducement, misrepresentation, and non-disclosure of material information in franchise disclosure documents by former franchisees of Clozetivity, Frost Shades, Dryer Vent Squad, and Patch Boys.
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
The total initial investment to open a Clozetivity franchise ranges from $81,500 to $157,500. This includes a franchise fee of $39,000.
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