Drymedic Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
DRYMEDIC is a restoration franchise providing water, fire, mold, and storm damage mitigation and reconstruction for homes and businesses. Franchisees run field crews on emergency restoration jobs, often through insurance.
FranchiseVerdict summary · 2026
A DRYMEDIC franchise requires a total initial investment of $196K – $319K, including a $45K franchise fee. Per the 2025 FDD, average unit revenue was $718K[2]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $196K – $319K
- 71st pct Cleaning & Ma…
- Avg gross sales
- $718K
- 21st pct Cleaning & Ma…
- Royalty
- N/A
- Units
- 89
- 62nd pct Cleaning & Ma…
- SBA charge-off
- N/A
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = favorable by >10% vs Cleaning & Maintenance 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
- COSTTotal investment $196K – $319K including a $45K franchise fee.
- RETURNSAverage unit revenue of $718K/year (median $653K).
- RISKVerdict A (Strongest tier), verdict score 81/100 (higher is better).
- GROWTHSystem growing at 148.1% CAGR over 3 years with 89 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- STOP Franchising SPE LLC
- Parent company
- AB Assetco LLC
- Ultimate parent
- Authority Brands, Inc.
- Predecessor
- STOP Franchising, Inc.
- Prior franchisor entity
- CEO title
- President
- Carlos Hesano
- Incorporated in
- DE
- HQ
- 7120 Samuel Morse Drive, Suite 300, Columbia, Maryland 21046
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $226.4M
- vs $219.1M prior year
Overview
About
- CEO
- Carlos Hesano
- Headquarters
- MD
- Founded
- 2021
- FDD year
- 2025
- States available
- 21
Can you afford it, and what does the money buy?
Entry cost runs 18% below the typical cleaning & maintenance franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown21 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Franchise Feenot refundable | $45K | $45K | |
| Initial Brand Fund Contributionnot refundable | $4K | $4K | |
| DASH Initial Setup Feenot refundable | $2K | $3K | |
| Software | $3K | $8K | |
| Technology Requirements - Hardware | $800 | $2K | |
| Telephone Services | $315 | $525 | |
| Internet Services | $300 | $525 | |
| Equipment and Vehicle Outfitting Feenot refundable | $80K | $80K | |
| Additional Equipment and Supplies | $0 | $10K | |
| Vehicle | $12K | $17K | |
| Signage for Vehicle | $2K | $5K | |
| Travel Expenses for Initial Training | $3K | $6K | |
| Start-up Supplies | $500 | $5K | |
| Rent/Lease of Real Estate | $3K | $10K | |
| Leasehold Improvements | $0 | $5K | |
| Signage Costs | $100 | $500 | |
| Insurance | $3K | $12K | |
| Health, Safety, and Industry Certifications | $2K | $5K | |
| Professional Fees and Licensing | $5K | $20K | |
| Full Time Manager (Mitigation Manager/Foreman) | $0 | $25K | |
| Total initial investment | $196K | $319K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $196K – $319K
- Bottom third — review vs category
- Liquid capital req'd
- $32K – $56K
- Middle of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- 7% of first $1M Gross Revenue (Mitigation/Contents); 6% o…
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 8.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | greater of 7% (decreasing to 6% then 5% based on revenue tiers) or minimum royalty schedule starting at $900/month |
| Marketing / ad fund | 1.5% of gross sales |
| Technology fee | $100 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Inventory (initial) | $500 – $10K |
| Total fee load | 8.5% of rev |
What do units actually make?
Average unit sales run 20% below the cleaning & maintenance norm.
Source: FDD 2025 · 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
$83K
11.5% margin
Unlevered ROIC
27%
EBITDA / total invested capital
Payback
3.7 yrs
cash-on-cash, unlevered
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one DRYMEDIC unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
27%
Below the 30–60% attractive-franchise band
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 DRYMEDIC units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$646K
on $3.2M purchase
Total debt
$2.6M
SBA $1.6M + senior + seller note
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
- Avg gross sales
- $718K
- Per unit, per year
- Median gross sales
- $653K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross revenue
- Sample size
- 35 territories
- vs category median 32
- Range (low → high)
- $36K→$3.1M
- Cohort dispersion (min → max)
- Quartile band
- $73K→$2.2M
- Bottom 25% → top 25%
- Transparency tier
- full
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 192 Cleaning & Maintenance 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 $718K/year in gross sales. Revenue-to-investment ratio: 2.8x.
Fee burden
Total ongoing fee load of 8.5% (near the Cleaning & Maintenance average).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 148.1% CAGR over 3 years across 89 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 Cleaning & Maintenance averages
How Drymedic Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 89
- Opened
- 27
- Last reporting year
- Closed
- 0
- Terminated
- 3
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 4.5%
- Company-owned
- 22
- Corporate units in the system
- % franchised
- 75%
- vs corporate-owned
- Net growth (3-yr)
- +148.1%
- Net unit change over 3 years
- 3-yr CAGR
- +148.1%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 27
- Closed (3yr)
- 0
- Terminated (3yr)
- 3
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Termination rate
- 4.5%
- Franchisor-initiated terminations
- Ceased ops
- 3.4%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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.
Available to sell in · Item 12
- Washington
States where the franchisor is registered to sell new franchises (FDD registration filings).
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.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Rapidly scaling franchise with non-disclosed unit profitability, high cost structure, and aggressive growth that may mask weak franchisee economics.
Litigation (Item 3)
No litigation required to be disclosed.
Largest disclosed settlement: $67,334
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 81 / 100 verdict
- 01MEDNet income not disclosed in FDD Item 19 — impossible to verify $717,860 avg revenue translates to viable unit economics
- 02MINORExplosive 55.8% YoY unit growth (likely from low base of ~57 units) suggests aggressive recruitment; high churn risk in immature system
- 03MINORTiered royalty structure (7%→6%→5% + 3% reconstruction) with $900-$2,625/mo minimum creates complexity; franchisees earning <$150k annually may struggle with profitability
- 04MEDHigh initial investment ($196k–$319k) relative to disclosed average revenue ($717k) implies 3-4 year payback before accounting for operating expenses
- 05HIGHGoing Concern flag is FALSE but lack of Item 19 profitability data prevents stress-testing unit viability through economic downturns
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 50 mi |
| Territory population | 250,000 |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 40 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 15 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Columbia, Maryland |
| Jury trial waiver | Yes |
| Governing law | MD |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 56 hrs
- On-the-job training
- 48 hrs
- Training location
- Bloomfield, MI (Classroom Training); online self-directed (Pre-Training)
- Ongoing training
- Required
- Time to open
- 3 mo
- From signing to launch
- Site selection
- franchisee with franchisor approval
- Franchisor financing
- Offered
- Item 10
- POS system
- DASH
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: DASH
Item 20 · call current owners
Franchisee Contacts
53 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
DRYMEDIC · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a DRYMEDIC franchise?
The total investment to open a DRYMEDIC franchise ranges from $196K – $319K, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do DRYMEDIC franchise owners earn?
According to Item 19 of the DRYMEDIC FDD, the average gross sales per unit is $718K. The median is $653K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the DRYMEDIC FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the DRYMEDIC FDD and qualifies whose outlets they describe.
What is DRYMEDIC's franchise failure rate?
SBA 7(a) loan charge-off data is not available for DRYMEDIC (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many DRYMEDIC franchise locations are there?
As of their most recent FDD filing, DRYMEDIC has 89 total units in the United States, including 67 franchised units and 22 company-owned units. 27 new units were opened in the latest reporting year.
Is DRYMEDIC a good franchise to buy?
FranchiseVerdict rates DRYMEDIC as a A-grade franchise with a verdict score of 81 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
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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.