FranchiseVerdict
BLUE KANGAROO PACKOUTZ logo
FV-00332·STRONGExcellent91

Blue Kangaroo Packoutz

Cleaning - Commercial & JanitorialFranchising since 2019Website
Investment
$110K – $595K
54th pct Commercial & …
Avg revenue
$813K
38th pct Commercial & …
Royalty
7.0%
31st pct Commercial & …
Units
135
77th pct Commercial & …
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $110K – $595K including a $60K franchise fee, 7.0% ongoing royalty.
  • Average unit revenue of $813K/year (median $699K).
  • Rated STRONG with a risk score of 54/100. SBA loan default rate of 0.0% across 60 loans (below the industry average).
  • System growing at 30.1% CAGR over 3 years with 135 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
PACKOUTZ International, LLC
Parent company
BELFOR Franchise Group, LLC
Incorporated in
Delaware
HQ
5405 Data Court, Ann Arbor, MI 48108
Auditor
BDO USA, P.C.
Audited financials
Franchisor revenue
$30K
vs $30K prior year

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 BLUE KANGAROO PACKOUTZ unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $813,001
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restoration
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $110K–$595K
Working capital
$
FDD reports $55K–$150K

Unlevered ROIC · per unit

18%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$81K
EBITDA margin
10.0%
Total invested
$455K
Payback
67 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 BLUE KANGAROO PACKOUTZ units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$488K

on $2.4M purchase

Total debt

$2.0M

SBA $1.2M + senior + seller note

Overview

About

Blue Kangaroo Packoutz franchisees operate moving and storage packing services, helping residential and commercial customers organize, pack, and declutter spaces. Day-to-day work involves on-site consultations, space assessment, packing services, and coordinating storage solutions, typically operating from a local service territory.

CEO
Sheldon Yellen
Founded
2019
FDD year
2026
States available
36

Item 7 · what it costs

The Vitals

Total investment
$110K – $595K
All-in to open one unit
Liquid capital
$55K – $150K
Cash you must have on hand
Franchise fee
$60K
Royalty
7.0%
Percentage of Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
9.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$813K
Per unit, per year
Median gross sales
$699K
Item 19 type
Historical Gross Sales
Sample size
63 units
vs category median 32
Range (low → high)
$0$4.1M
Cohort dispersion
Transparency
4 / 5
vs category median 4 / 5 · typical
Revenue rank38th
vs Cleaning - Commercial & Janitorial peers
Investment cost rank54th
Lower investment ranks lower (better)
Royalty rate rank31th
Lower royalty = lower percentile (better)
Unit count rank77th
vs Cleaning - Commercial & Janitorial peers
Risk score rank47th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
135
Opened
11
Last reporting year
Closed
9
Turnover rate
6.7%
Company-owned
1
Corporate units in the system
% franchised
99%
vs corporate-owned
Net growth (yr3)
+1.5%
Net unit change last year
3-yr CAGR
+30.1%
Compounded over last 3 years
2024
134+2
Franchised units
2025
132
Franchised units
2026
103
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 16 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 16 states
Not registered

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.

Total loans
60
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

54
Risk · 0-100
STRONG54 / 100

Stagnant growth, undisclosed profitability, and going concern issues create meaningful uncertainty about franchisor viability and franchisee ROI.

Score breakdown · what drove the 54 / 100 rating

  1. 01HIGHGoing Concern status is FALSE — franchisor may have financial instability or operational challenges
  2. 02MEDNet Income not disclosed in Item 19 — unable to validate actual profitability despite $813k average revenue claim
  3. 03MINORMinimal unit growth of 1.5% YoY suggests stagnation or market saturation in a 135-unit system
  4. 04MINORHigh initial investment range ($110k–$594k) with wide variance indicates inconsistent territory/model costs
  5. 05MINOR7% royalty on gross sales (not net) creates ongoing pressure, especially if net margins are thin
  6. 06MINOR5-year term is shorter than industry standard (10 years), increasing renewal uncertainty

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Zip codes
Protected territory
Yes
Initial term
5 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
1.5 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Michigan

Item 11

Training & Operations

Classroom training
54 hrs
On-the-job training
25 hrs
POS system
BLUE KANGAROO PACKOUTZ Software
Operating tech stack

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

17 numbers

Locked
(651) 539-••••
MN
(503) 378-••••
OR
(317) 232-••••
IN

One-time purchase · CSV download · Validation questions included

FDD download

BLUE KANGAROO PACKOUTZ · FDD (2026) PDF

Single-page checkout · instant download · CSV export of contacts available separately above