CertaPro Painters
Bottom line
- Total investment $171K – $321K including a $65K franchise fee.
- Average unit revenue of $2.1M/year (median $1.4M). Estimated payback in 0.4 years.
- Rated STRONG with a risk score of 42/100. SBA loan default rate of 0.0% across 221 loans (below the industry average).
- System contracting at -8.2% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
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 CertaPro Painters unit return on the cash you put in?
Unlevered ROIC · per unit
73%
Above typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 CertaPro Painters units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.3M
on $6.4M purchase
Total debt
$5.1M
SBA $3.2M + senior + seller note
Overview
About
CertaPro Painters franchisees operate residential and commercial interior/exterior painting services. Day-to-day operations include managing crews, scheduling jobs, coordinating with customers, sourcing materials, and ensuring quality control across paint application projects. Franchisees are responsible for local marketing, customer acquisition, staff hiring/training, and profitability within their 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 · 14 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
Declining franchise network, active litigation over covenant enforcement, lack of disclosed financial metrics, and high capital requirements create material execution and financial risks for new franchisees.
Score breakdown · what drove the 42 / 100 rating
- 01MINORUnit count declining 6.5% YoY (307 units) signals system contraction and potential market saturation or franchisee dissatisfaction
- 02HIGHPending federal litigation (2024) against former franchisee for financial damages and covenant enforcement indicates enforcement challenges and potential franchisor-franchisee conflict
- 03HIGHNo Item 19 financial performance representation (Going Concern: False) means prospective franchisees lack verified average revenue/profit benchmarks to validate the $591K avg net income claim
- 04MINORTiered royalty structure (6%/5%/4% declining, or minimum) with no specified minimum amount creates unpredictable cash flow obligation; high gross sales requirement implies significant working capital needs
- 05MINORInitial investment range of $171K–$320.5K is substantial with $65K franchise fee; ROI timeline unclear without Item 19 data or cost-of-acquisition benchmarks
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
100 numbers
One-time purchase · CSV download · Validation questions included
FDD download
CertaPro Painters · FDD (2025) PDF