Cabinet Iq Franchise Cost, Revenue & Review 2026
Analysis by FranchiseVerdict Research · Methodology
FranchiseVerdict summary · 2026
A Cabinet Iq franchise requires a total initial investment of $308K – $483K, including a $54K – $60K franchise fee and an ongoing 6.0% royalty[2]. Per the latest FDD, average unit revenue was $1.1M[2]. SBA 7(a) loans show a 0.0% charge-off rate across 17 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified
Overview
- Investment
- $308K – $483K
- 79th pct Home Services
- Avg gross sales
- $1.1M
- 36th pct Home Services
- Royalty
- 6.0%
- 15th pct Home Services
- Units
- 54
- 44th pct Home Services
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Home Services · color = vs category peers
Green = favorable by >10% vs Home Services avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $308K – $483K including a $54K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.1M/year (median $1.1M).
- Verdict A (Strongest tier), verdict score 83/100 (higher is better). SBA loan charge-off rate of 0.0% across 17 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- Revenue data based on only 2 reporting units. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Cabinet IQ Franchising, LLC
- Parent company
- Cabinet IQ Holdings, LLC
- CEO title
- Chief Executive Officer & Founder
- Michael Hartel
- Incorporated in
- Texas
- HQ
- 2419 S. Bell Blvd., Cedar Park, TX 78613
Overview
About
Professional kitchen remodeling services (residential and commercial) under the "Cabinet IQ" mark, including a retail showroom for cabinet products and services, cabinet evaluation, removal, and installation.
- CEO
- Michael Hartel
- Headquarters
- Texas
- Founded
- 2021
Can you afford it, and what does the money buy?
Entry cost runs 75% above the typical home services franchise.
Source: FDD · Items 5–7
FDD Item 7
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $54K | $54K |
| Working capital (3–6 mo) | $15K | $25K |
| Equipment, build-out, other | $240K | $404K |
| Total initial investment | $308K | $483K |
Source: Cabinet Iq FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $308K – $483K
- Bottom third — review vs category
- Liquid capital req'd
- $15K – $25K
- Top 40% of category vs category
- Franchise fee
- $54K – $60K
- Middle of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $549 |
| Transfer fee | $10K |
| Renewal fee | $5K |
What do units actually make?
Average unit sales land near the home services norm.
Source: FDD · Item 19
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
$136K
12.0% margin
Unlevered ROIC
33%
EBITDA / total invested capital
Payback
3.1 yrs
cash-on-cash, unlevered
Financial Performance
- Avg gross sales
- $1.1M
- Per unit/yr · from the Item 19 franchised-cohort breakdown (no single system-wide average disclosed)
- Median gross sales
- $1.1M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- historical_gross_revenue_by_showroom_tenure_cohort
- Sample size
- 2 units
- vs category median 32 · small
- Range (low → high)
- $747K→$1.5M
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
Compared against 355 Home Services brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $1.1M/year in gross sales. Revenue-to-investment ratio: 2.9x.
Fee burden
6.0% royalty + 1.0% ad fund.
Operator retention
System expanding at 5200.0% CAGR over 3 years across 54 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Home Services averages
How Cabinet Iq Compares
Is the system healthy?
Source: FDD · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 54
- Opened
- 32
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 17
- Loan volume
- $5.0M
- Median loan
- $294K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 7
- Defaults
- 0
- Typical loan rate
- 10.0%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 2361
- Jobs supported
- 74
- 1.5 per loan
- Lender concentration
- 59%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Top lenders financing Cabinet Iq franchisees
Showing 3 of 7 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
With a 0.0% charge-off rate across 17 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
No litigation disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
What are you signing up for?
Ongoing fees run about 7.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory sizeℹ | Up to 100,000 owner-occupied households per Territory |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 100 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Mandatory arbitration | Yes |
| Arbitration location | Austin, Texas (AAA office nearest franchisor's principal place of business) |
| Governing law | Texas |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 105 hrs
- On-the-job training
- 40 hrs
- Training location
- Virtual Classroom and Austin, TX (franchisor headquarters)
- Ongoing training
- Required
- Field support
- 40 hrs/yr
- On-site visits per year
- Time to open
- 3 mo
- From signing to launch
- Site selection
- franchisee (franchisor reviews/approves)
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Cabinet Iq franchise?
The total investment to open a Cabinet Iq franchise ranges from $308K – $483K, with an initial franchise fee of $54K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Cabinet Iq franchise owners earn?
According to Item 19 of the Cabinet Iq FDD, the average gross sales per unit is $1.1M. The median is $1.1M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Cabinet Iq's franchise failure rate?
Based on SBA 7(a) loan data, Cabinet Iq has a charge-off rate of 0.0% across 17 loans, meaning 0.0% 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 Cabinet Iq franchise locations are there?
As of their most recent FDD filing, Cabinet Iq has 54 total units in the United States, including 53 franchised units and 1 company-owned units. 32 new units were opened in the latest reporting year.
Is Cabinet Iq a good franchise to buy?
FranchiseVerdict rates Cabinet Iq as a A-grade franchise with a verdict score of 83 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent Cabinet Iq, you can request corrections or provide updated information.
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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.