Bottom line
- Total investment $72K – $123K including a $50K franchise fee, 10.0% ongoing royalty.
- Average unit revenue of $962K/year. Estimated payback in 0.2 years.
- Rated MODERATE with a risk score of 60/100. SBA loan default rate of 0.0% across 2 loans (below the industry average).
- Emerging franchise — only 1 year of franchising with 1 units. Early-stage systems carry higher risk but may offer better territory availability.
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 Complete Mobile Drug Testing unit return on the cash you put in?
Unlevered ROIC · per unit
102%
Above typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Complete Mobile Drug Testing units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$769K
on $3.8M purchase
Total debt
$3.1M
SBA $1.9M + senior + seller note
Overview
About
Franchisees operate mobile drug testing services, conducting on-site employee drug screenings and compliance testing for corporate clients. Daily operations involve scheduling tests, traveling to client locations, collecting samples, and managing client relationships while handling regulatory compliance documentation. Revenue is generated through per-test fees and recurring corporate contracts.
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
Single-unit franchise with going concern issues, unverified financial claims, and unclear growth trajectory presents significant execution and support risk despite reasonable unit economics.
Score breakdown · what drove the 60 / 100 rating
- 01MINOROnly 1 unit in system with unknown growth trajectory indicates either brand-new or stagnant franchise
- 02HIGHGoing Concern flag is FALSE — suggests potential financial instability or undisclosed operational issues
- 03MINORNo Item 19 financial performance representations — cannot independently verify claimed $961,725 avg revenue or $408,660 net income
- 04MINOR10% royalty on adjusted gross sales creates ambiguity on what deductions apply before royalty calculation
- 05MINORHigh investment range ($72k-$123k) relative to single-unit system provides no economies of scale or support infrastructure proof
- 06MINORProtected territory claim unverified with only one franchisee — unclear how franchisor enforces or defines territory boundaries
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
15 numbers
One-time purchase · CSV download · Validation questions included