Bottom line
- Total investment $140K – $369K including a $75K franchise fee, 10.0% ongoing royalty.
- Average unit revenue of $206K/year (median $121K).
- Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 36 loans (below the industry average).
- System growing at 22.3% CAGR over 3 years with 150 total units — strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one ActionCOACH unit return on the cash you put in?
Unlevered ROIC · per unit
6%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 ActionCOACH units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$41K
on $206K purchase
Total debt
$165K
SBA $0.1M + senior + seller note
Overview
About
ActionCOACH franchisees deliver business coaching and mentoring services to small/mid-market business owners, typically working one-on-one or in group settings to improve operations, sales, and profitability. Franchisees manage their own client acquisition (sales/marketing), delivery of coaching programs, and ongoing client relationships within a protected territory.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 31 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Slow-growing coaching franchise with opaque profitability metrics, aggressive royalty minimums, and historical regulatory/litigation issues that warrant cautious investigation before committing $140K–$370K.
Score breakdown · what drove the 44 / 100 rating
- 01MEDNo Item 19 (Average Unit Volume) disclosed—cannot validate $206,496 avg revenue claim or assess profitability; net income completely absent
- 02MINORSlow unit growth (7.2% YoY) with only 150 units suggests mature/stagnant system; growth rate below franchise industry average
- 03MINORHigh royalty floor ($1,950/month = $23,400 annually) creates negative cash flow risk for underperforming locations, especially in early ramp-up
- 04HIGHMultiple litigation matters including non-compete enforcement actions, 2002 Maryland registration violations, and 1999 California desist order indicate historical compliance/disclosure issues
- 05MEDSignificant upfront investment ($139,951–$368,522) combined with undisclosed net income creates ROI opacity; payback period cannot be calculated
- 06MED15-year term is longer than industry standard (10 years typical), locking franchisees into relationship with limited exit optionality
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
84 numbers
One-time purchase · CSV download · Validation questions included
FDD download
ActionCOACH · FDD (2024) PDF