Blue Moon Estate SalesFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Blue Moon Estate Sales franchise requires a total initial investment of $90K – $113K, including a $57K franchise fee and an ongoing 5.5% royalty[2]. Per the 2026 FDD, average unit revenue was $321K[2]. SBA 7(a) loans show a 10.0% charge-off rate across 10 loans[1]. Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $90K – $113K
- 53rd pct Real Estate
- Avg gross sales
- $321K
- 13th pct Real Estate
- Royalty
- 5.5%
- 19th pct Real Estate
- Units
- 136
- 50th pct Real Estate
- SBA default
- 10.0%
- system-wide median varies by category
Quick verdict · Real Estate · color = vs category peers
Green = >15% above Real Estate 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
Each dollar invested generates 3.2x in gross revenue, well above the typical 1.5-2.5x range.
12 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $90K – $113K including a $57K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $321K/year (median $229K).
- Verdict D (Below Average) with a risk score of 77/100. SBA loan charge-off rate of 10.0% across 10 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- 12 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Blue Moon Franchise Systems, LLC
- Parent company
- Best Life Brands, LLC
- Incorporated in
- NC
- HQ
- 900 Wilshire Drive, Suite 102, Troy, MI 48084
- Auditor
- RSM US LLP
- Audited financials
- Franchisor revenue
- $37.3M
- vs $41.8M prior year
Overview
About
Blue Moon Estate Sales franchisees operate liquidation businesses that help families sell estate contents (furniture, antiques, collectibles, etc.) during downsizing or after death. Day-to-day work involves client acquisition, property assessment, cataloging inventory, conducting on-site sales events, managing logistics, and handling customer transactions in a protected territory.
- CEO
- J.J. Sorrenti
- Headquarters
- MI
- Founded
- 2013
- FDD year
- 2026
- States available
- 30
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $57K | $57K |
| Working capital (3–6 mo) | $12K | $15K |
| Equipment, build-out, other | $21K | $41K |
| Total initial investment | $90K | $113K |
Source: Blue Moon Estate Sales 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$53K
16.5% margin
Unlevered ROIC
46%
EBITDA / total invested capital
Payback
26 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $90K – $113K
- Near category avg vs category
- Liquid capital req'd
- $12K – $15K
- Near category avg vs category
- Franchise fee
- $25K – $57K
- Near category avg vs category
- Royalty
- 5.5%
- percentage_of_gross · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $135 |
| Transfer fee | $15K |
| Renewal fee | $8K |
| Total fee load | 6.5% of rev |
A 6.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $321K
- Per unit, per year
- Median gross sales
- $229K
- Item 19 type
- gross_sales
- Sample size
- 73 units
- vs category median 41
- Range (low → high)
- $5K→$1.4M
- Cohort dispersion (min → max)
- Transparency
- 4 / 5
- vs category median 0 / 5 · above
Compared against 121 Real Estate brands
vs Real Estate averages
How Blue Moon Estate Sales Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 136
- Opened
- 22
- Last reporting year
- Closed
- 9
- Turnover rate
- 6.6%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +10.6%
- Net unit change last year
- 3-yr CAGR
- +24.8%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 4
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 29 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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 10
- Loan volume
- $1.1M
- Median loan
- $141K
- 50th percentile
- Charge-off rate
- 10.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 75.0%
- 5-yr charge-off
- 33.3%
- Loans approved 2021+
- Active lenders
- 3
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Blue Moon Estate Sales's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 3 lenders with concentration factor
- Per-state charge-off rates across 8 states
- Startup risk premium and job creation velocity
- 4-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Estate sales is a niche, capital-light model, but undisclosed profitability metrics, ongoing litigation, and corporate going concern issues create material risk for franchisees with limited visibility into actual earnings potential.
Audited financials (Item 21)
Yes · RSM US LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 77 / 100 rating
- 01MEDNo Item 19 (Average Net Income) disclosed — impossible to validate ROI claims or profitability; combined with $89.5K-$113.3K investment, actual earnings remain opaque
- 02HIGHActive litigation involving breach of contract, non-compete violations, and misappropriation of trade secrets suggests systemic franchisor-franchisee disputes and potential operational constraints
- 03HIGHGoing Concern = False indicates potential financial instability or viability concerns at corporate level, raising questions about long-term support and system sustainability
- 04MEDHigh initial investment ($57K franchise fee + $89.5K-$113.3K total) relative to undisclosed net income creates unfavorable risk-reward profile
- 05MINOROnly 10.6% YoY unit growth is modest for an established 136-unit system, suggesting market saturation, franchisee struggles, or recruitment challenges
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 | 1 |
| Territory type | Zip Codes |
| 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 |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Michigan |
| Litigation count | 12 |
Items 10, 11
Training & Operations
- Classroom training
- 82 hrs
- On-the-job training
- 14 hrs
- POS system
- Digital Platform / Square
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Digital Platform / Square
Item 20 · call current owners
Franchisee Contacts
96 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Blue Moon Estate Sales · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Blue Moon Estate Sales franchise?
The total investment to open a Blue Moon Estate Sales franchise ranges from $90K – $113K, with an initial franchise fee of $57K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Blue Moon Estate Sales franchise owners earn?
According to Item 19 of the Blue Moon Estate Sales FDD, the average gross sales per unit is $321K. The median is $229K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Blue Moon Estate Sales's franchise failure rate?
Based on SBA 7(a) loan data, Blue Moon Estate Sales has a charge-off rate of 10.0% across 10 loans, meaning 10.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Blue Moon Estate Sales franchise locations are there?
As of their most recent FDD filing, Blue Moon Estate Sales has 136 total units in the United States, including 109 franchised units and 0 company-owned units. 22 new units were opened in the latest reporting year.
Is Blue Moon Estate Sales a good franchise to buy?
FranchiseVerdict rates Blue Moon Estate Sales as a D-grade franchise with a risk score of 77 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.