RENOVATION SELLS

Item 7 outlines initial investment from $79,005 to $101,484, including a $50,000 franchise fee, making it accessible compared to broader home improvement peers often exceeding $200K. Ongoing fees total 7% royalty plus 1% brand fund (up to 2%) and $150 monthly tech fee—standard but with a tech add-on that could accumulate for lower-revenue units. Item 19 reveals average gross revenue of $363,062 and median $306,874 across existing locations, suggesting solid top-line potential if owners hit averages, though medians indicate variability; no profit figures disclosed, so EBITDA likely 15-25% based on category norms after fees.

System maturity shows 40 franchise locations plus one corporate, up 29% from 31 in 2022, with 33 projected new units signaling franchisor ambition since 2020. Four terminations flag early attrition (10% rate), possibly from market challenges or operations, but no outsized litigation. Nine SBA loans averaging $114,056 reflect leverage used by owners, with default rates undisclosed but low volume implying caution. For hands-on operators with real estate ties, this low-cost entry and revenue tease make it viable in hot markets, but validate local demand and support before committing.