Expense Reduction Analysts Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Expense Reduction Analysts is a B2B consulting franchise that finds cost savings for organizations across purchased goods and services. Franchisees run a consultancy auditing client spend and negotiating with suppliers, earning a share of the savings, typically home-based.
FranchiseVerdict summary · 2026
A Expense Reduction Analysts franchise requires a total initial investment of $76K – $106K, including a $70K franchise fee. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $76K – $106K
- 24th pct Business Serv…
- Avg gross sales
- N/A
- Royalty
- N/A
- Units
- 196
- 57th pct Business Serv…
- SBA charge-off
- N/A
Quick verdict · Business Services · color = vs category peers
Green = favorable by >10% vs Business 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
- COSTTotal investment $76K – $106K including a $70K franchise fee.
- RETURNSItem 19 presents Net Cumulative Receipts (a revenue metric, not net income) for Full-Time Franchisees (n=86) and Part-Time Franchisees (n=51), covering 137 franchisees active throughout 2025 who completed 18-month start-up phase before FY2025. Also includes separate per-project invoicing metrics (average/median/high/low invoice per project) not usable as whole-unit revenue.
- RISKVerdict A (Strongest tier), verdict score 85/100 (higher is better).
- GROWTHSystem growing at 34.2% CAGR over 3 years with 196 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Expense Reduction Analysts, Inc.
- Parent company
- Evercertain Limited
- Ultimate parent
- UK Pluto Topco Limited
- CEO title
- Global CEO, ERA Group
- Mark Taylor
- Incorporated in
- California
- HQ
- 16415 Addison Road, Suite 410, Addison, Texas 75001
- Auditor
- CliftonLarsonAllen LLP (CLA)
- Audited financials
- Franchisor revenue
- $5.3M
- vs $5.4M prior year
Overview
About
- CEO
- Mark Taylor
- Headquarters
- TX
- Founded
- 2002
- FDD year
- 2026
- States available
- 22
Can you afford it, and what does the money buy?
Entry cost runs 67% below the typical business services franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $70K | $70K |
| Working capital (3–6 mo) | $3K | $6K |
| Equipment, build-out, other | $3K | $30K |
| Total initial investment | $76K | $106K |
Source: Expense Reduction Analysts 2026 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
- $76K – $106K
- Top 40% of category vs category
- Liquid capital req'd
- $3K – $6K
- Top 40% of category vs category
- Franchise fee
- $70K – $70K
- Middle of category vs category
- Royalty
- Greater of 15% of annual Net Cumulative Receipts for the …
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 18.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | Minimum Royalty Fee: $1,051.65/month (months 1-36), $1,314.56/month thereafter |
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $2K |
| Training fee | $10K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $0 – $1K |
| Total fee load | 18.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Expense Reduction Analysts did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Expense Reduction Analysts unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
110%
Above the 30–60% band. Verify revenue is per-unit average
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: 2026 FDD
Financial Performance
Item 19 presents Net Cumulative Receipts (a revenue metric, not net income) for Full-Time Franchisees (n=86) and Part-Time Franchisees (n=51), covering 137 franchisees active throughout 2025 who completed 18-month start-up phase before FY2025. Also includes separate per-project invoicing metrics (average/median/high/low invoice per project) not usable as whole-unit revenue.
- Item 19 type
- historical
- Sample size
- 137
- vs category median 35 · large
- Quartile band
- $55K→$901K
- Bottom 25% → top 25%
- Source filing
- FDD 2026
- The FDD edition these figures were read from
- Transparency
- 4 / 10
- vs category median 3 / 10 · above
Compared against 296 Business Services brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 18.0% — above the Business Services average of 11.9%.
Disclosure
Item 19 reports outlet revenue, but not in a form that yields a per-outlet average we can compare across brands.
Operator retention
System expanding at 34.2% CAGR over 3 years across 196 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 Business Services averages
How Expense Reduction Analysts Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 196
- Opened
- 43
- Last reporting year
- Closed
- 8
- Terminated
- 8
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 21.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +34.2%
- Net unit change over 3 years
- 3-yr CAGR
- +34.2%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 76
- Closed (3yr)
- 21
- Terminated (3yr)
- 21
- Non-renewed (3yr)
- 1
- Transfers (3yr)
- 3
- Reacquired (3yr)
- 1
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 4 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 loan disclosures. This brand has only 9 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 9
- Loan volume
- $1.1M
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (9 loans) — rate not shown below 10
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
- 4
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Modest growth trajectory, opaque profitability metrics, unprotected territory, and high fixed royalty minimums create meaningful financial and competitive risks that warrant detailed franchisee validation.
Litigation (Item 3)
One matter involving international affiliate E R Associates (Switzerland) Ltd as defendant (not ERA Group/franchisor itself); former Area Developer sued after termination; resolved via confidential settlement in 2017. No litigation against Franchisor itself disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP (CLA)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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
Score breakdown · what drove the 85 / 100 verdict
- 01MEDNo Item 19 (Average Net Income) disclosed — cannot verify profitability claims against $76k-$106k investment
- 02MEDSlow unit growth of 5.9% YoY with only 146 units suggests limited scalability or market saturation
- 03MINORUnprotected territory creates direct competition risk from other franchisees and company-owned locations
- 04MINORHigh royalty floor ($1,000-$1,250/month minimum = $12k-$15k annually) creates break-even pressure on franchisees below $80k revenue
- 05HIGHInternational litigation history (Germany, Switzerland) raises questions about franchisor's dispute resolution practices and affiliate management
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 18.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · 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 | none |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 50 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Arbitration location | Dallas, Texas (mediation under AAA auspices, at franchisor's option) |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 1 |
View Item 3 litigation summary
One matter involving international affiliate E R Associates (Switzerland) Ltd as defendant (not ERA Group/franchisor itself); former Area Developer sued after termination; resolved via confidential settlement in 2017. No litigation against Franchisor itself disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 92 hrs
- On-the-job training
- 0 hrs
- Training location
- ERA Academy, Kent, England (and/or online)
- Ongoing training
- Required
- Time to open
- 3 mo
- From signing to launch
- Franchisor financing
- Not offered
- Item 10
- POS system
- Athena (ERA Management Information System)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Athena (ERA Management Information System)
Item 20 · call current owners
Franchisee Contacts
198 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Expense Reduction Analysts · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Expense Reduction Analysts franchise?
The total investment to open a Expense Reduction Analysts franchise ranges from $76K – $106K, with an initial franchise fee of $70K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Expense Reduction Analysts franchise owners earn?
Expense Reduction Analysts does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Expense Reduction Analysts 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 Expense Reduction Analysts FDD and qualifies whose outlets they describe.
What is Expense Reduction Analysts's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Expense Reduction Analysts (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 Expense Reduction Analysts franchise locations are there?
As of their most recent FDD filing, Expense Reduction Analysts has 196 total units in the United States, including 196 franchised units and 0 company-owned units. 43 new units were opened in the latest reporting year.
Is Expense Reduction Analysts a good franchise to buy?
FranchiseVerdict rates Expense Reduction Analysts as a A-grade franchise with a verdict score of 85 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 Expense Reduction Analysts, you can request corrections or provide updated information.
Other Business Services franchises
Compare similar franchise opportunities in the Business Services category
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.