Bottom line
- Total investment $33K – $52K including a $30K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 59/100.
- System growing at 47.2% CAGR over 3 years with 312 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 House of Colour unit return on the cash you put in?
Unlevered ROIC · per unit
234%
Above typical band (30–60%)
Overview
About
House of Colour franchisees operate color analysis and personal styling consultancies, providing customers with personalized color palettes and wardrobe recommendations based on seasonal color theory. Day-to-day activities include conducting one-on-one client consultations, delivering color analysis sessions, selling branded color swatches/tools, and potentially offering styling services or workshops.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 35 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
House of Colour presents CAUTION-level risk due to undisclosed financial performance data, franchisor going concern flag, and a modest growth rate with compressed margins between fees and total investment.
Score breakdown · what drove the 59 / 100 rating
- 01MINORNo average revenue or net income disclosure (Item 19) — impossible to assess ROI or profitability
- 02HIGHGoing concern status is FALSE — suggests potential financial or operational instability at franchisor level
- 03MINOR12.2% YoY unit growth is modest for a mature system; unclear if this reflects market saturation or underperformance
- 04MINORHigh franchise fee ($30,000) relative to low total investment ceiling ($52,260) creates thin margin for working capital
- 05MINORMinimum royalty of $175/month ($2,100/year) represents 4% of revenues needed just to break even on royalties alone
- 06MINOR5-year term is shorter than industry standard (10 years), increasing renewal risk and uncertainty
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
House of Colour · FDD (2026) PDF