Alair Homes Master FranchisesFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Alair Homes Master Franchises franchise does not disclose total investment in its current FDD, including a $100K franchise fee and an ongoing 0.5% royalty[2]. The 2022 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2022 FDD issuance
Overview
- Investment
- $250K
- 74th pct Home Services
- Avg gross sales
- N/A
- 54th pct Home Services
- Royalty
- 0.5%
- 0th pct Home Services
- Units
- 16
- 24th pct Home Services
- SBA default
- N/A
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $250K including a $100K franchise fee, 0.5% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict F (Bottom Quintile) with a risk score of 93/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Alair Enterprises USA, Inc.
- Parent company
- Alair Enterprises USA Holdings, Inc. and Alair Enterprises Ltd.
- Ultimate parent
- Alair Enterprises Ltd.
- Predecessor
- and affiliate
- Prior franchisor entity
- CEO title
- CEO, Director, Secretary and Treasurer
- Blair McDaniel
- CEO experience
- 2020 yrs
- Years in role or industry
- Incorporated in
- AZ
- HQ
- 96 Wallace Street, Nanaimo, British Columbia V9R 0E2, Canada
- Auditor
- Larson Gross PLLC
- Audited financials
- Franchisor revenue
- $3.9M
- vs $3.4M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Franchisees operate residential home renovation and building businesses under the Alair Homes brand, managing client projects from design consultation through construction completion. They handle project bidding, subcontractor coordination, material sourcing, and quality control while paying the franchisor 50% of net payments received from clients. This is a service-based, project-dependent model with no recurring revenue, high capital requirements, and significant operational complexity.
- CEO
- Blair McDaniel
- Founded
- 2013
- FDD year
- 2022
- States available
- 10
FDD Item 7 · 2022 filing · 9 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $100K | $100K | |
| Master Franchise Brand Fund Paymentnot refundable | $2K | $2K | |
| Premises rent and security deposit | — | — | |
| Licenses and Permits | $0 | $2K | |
| Insurance | $0 | $2K | |
| Professional Fees | $500 | $3K | |
| Print Material | $50 | $350 | |
| Miscellaneous Expenses | $140 | $1K | |
| Additional Funds - 15 months | $21K | $27K | |
| Total initial investment | $123K | $137K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $250K
- Below avg, review vs category
- Liquid capital req'd
- $21K – $27K
- Near category avg vs category
- Franchise fee
- $100K – $100K
- Below avg, review vs category
- Royalty
- 0.5%
- Split · typical 6–8%
- Ad fund
- Proportionate share of excess expenditure
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 0.5% of gross sales |
| Training fee | $750 |
| Transfer fee | $25 |
| Renewal fee | $15K |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Home Services averages
How Alair Homes Master Franchises Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 16
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 94%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +15.4%
- Compounded over last 3 years
3-year detail · Item 20
- Terminated (3yr)
- 50
- Transfers (3yr)
- 0
- Projected new
- 2
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 8 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 4 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 4
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Alair Homes presents significant financial transparency gaps, unsustainable royalty terms, and system stability concerns that make this a speculative, high-risk franchise opportunity.
Litigation (Item 3)
Two cases: (1) Bolahood v. Alair Enterprises Canada Ltd. - subcontractor claim for $29,522.50 settled; Curleys' cross-claim for $350,000 for abandoned construction and deficiencies pending; (2) Alair Enterprises Canada Ltd. v. Leenan Construction Inc. et al. - case incomplete in Item 3
Largest disclosed settlement: $350,000
Bankruptcy (Item 4)
Disclosed in last 7 years
Shane Duff, Director of Market Development, filed Chapter 7 bankruptcy petition in Northern District of New York on January 20, 2015 (Case No. 15-10098-1-rel); discharge entered April 21, 2015
Audited financials (Item 21)
Yes · Larson Gross PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 93 / 100 rating
- 01MINOR50% royalty on net payments is extraordinarily high and will severely compress franchisee profitability
- 02MEDNo Item 19 financial disclosure (Avg Revenue and Net Income not disclosed) prevents validation of ROI claims
- 03HIGHGoing Concern = False indicates corporate entity financial instability or structural weakness
- 04MINOROnly 16 units with unknown growth trajectory suggests stagnant or declining system
- 05HIGHLitigation involving breach of non-compete and incomplete work indicates quality control and legal enforcement issues
- 06MINORHigh franchise fee ($250,000) combined with 50% royalty creates unsustainable cost structure for most home service businesses
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Region |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 15 days |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Arbitration location | Maricopa County, Arizona |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 2 |
View Item 3 litigation summary
Two cases: (1) Bolahood v. Alair Enterprises Canada Ltd. - subcontractor claim for $29,522.50 settled; Curleys' cross-claim for $350,000 for abandoned construction and deficiencies pending; (2) Alair Enterprises Canada Ltd. v. Leenan Construction Inc. et al. - case incomplete in Item 3
Items 10, 11
Training & Operations
- Classroom training
- 14 hrs
- On-the-job training
- 0 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Franchisor financing
- Offered
- Item 10
- POS system
- Proprietary Software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Proprietary Software
Item 20 · call current owners
Franchisee Contacts
12 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Alair Homes Master Franchises · FDD (2022) PDF
Frequently asked questions
Frequently Asked Questions
What do Alair Homes Master Franchises franchise owners earn?
Alair Homes Master Franchises does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Alair Homes Master Franchises's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Alair Homes Master Franchises (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Alair Homes Master Franchises franchise locations are there?
As of their most recent FDD filing, Alair Homes Master Franchises has 16 total units in the United States, including 13 franchised units and 1 company-owned units.
Is Alair Homes Master Franchises a good franchise to buy?
FranchiseVerdict rates Alair Homes Master Franchises as a F-grade franchise with a risk score of 93 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.