Floyd's 99
Bottom line
- Total investment $400K – $768K including a $50K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $980K/year (median $954K). Estimated payback in 3.7 years.
- Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 21 loans (below the industry average).
- System growing at 25.0% CAGR over 3 years with 138 total units — strong expansion trajectory.
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 Floyd's 99 unit return on the cash you put in?
Unlevered ROIC · per unit
35%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Floyd's 99 units return on equity?
Equity IRR · 5-yr
34.0%
4.31× MOIC
Year-1 DSCR
2.39×
EBITDA ÷ debt service
Equity required
$5.6M
on $15.2M purchase
Total debt
$9.6M
SBA $5.0M + senior + seller note
Overview
About
Floyd's 99 is a men's grooming and barbershop franchise offering haircuts, shaves, and related services in a branded retail environment. Day-to-day operations involve managing barber/stylist staff, customer scheduling, inventory management, and maintaining brand standards across the 10-year license term.
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 · 11 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
Floyd's 99 presents moderate-to-caution risk due to unresolved labor litigation, slow unit growth, lack of financial transparency, and investment payback concerns requiring careful validation of franchisee profitability claims.
Score breakdown · what drove the 44 / 100 rating
- 01HIGHJoint employer litigation (2020) with December 2024 dismissal raises labor compliance concerns and potential for future claims despite small settlement amount
- 02MINORSlow unit growth of 4.8% YoY suggests market saturation or franchisee struggles; 138 units is modest for established brand
- 03MINORNo Item 19 (Financial Performance Representations) in FDD limits ability to validate $156K avg net income claim; high variance likely exists
- 04MINORHigh initial investment range ($399.5K-$767.5K) with modest average net income ($156K) creates 2.6-4.9 year payback period at risk
- 05MEDLabor violation allegations dismissed without prejudice, meaning claims could be refiled; indicates systemic labor management issues at franchisee level
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
60 numbers
One-time purchase · CSV download · Validation questions included