FranchiseVerdict
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FV-01365·MODERATEStandard76

Journey Payroll & HR

Business Services - StaffingFranchising since 2017Website
Investment
$39K – $82K
17th pct Staffing
Avg revenue
42nd pct Staffing
Royalty
5.0%
17th pct Staffing
Units
11
29th pct Staffing
SBA default

Bottom line

  • Total investment $39K – $82K including a $30K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 62/100.
  • No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.

Item 1 · who you're contracting with

The Franchisor

Legal entity
JOURNEY FRANCHISING LLC
Incorporated in
Colorado
HQ
3351 Eastbrook Drive, Unit 3, Fort Collins, Colorado 80525
Auditor
Kezos & Dunlavy
Audited financials
Franchisor revenue
$1.7M
vs $2.3M prior year

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 Journey Payroll & HR unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $39K–$82K
Working capital
$
FDD reports $3K–$15K

Unlevered ROIC · per unit

171%

Above typical band (30–60%)

0%30–60% Yale band80%
ROIC above 100% usually means the revenue figure is a system-wide aggregate or top-cohort number rather than a single-unit average. Verify the "Revenue · per unit" field against the brand's FDD Item 19 detail tables before relying on this output.

Store EBITDA · annual
$118K
EBITDA margin
15.8%
Total invested
$69K
Payback
7 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Journey Payroll & HR franchisees provide payroll processing, tax compliance, and human resources consulting services to small and mid-market businesses. Day-to-day work involves client account management, payroll data entry/verification, tax filing coordination, HR documentation support, and ongoing compliance monitoring. Revenue is typically generated through recurring monthly service fees and per-employee processing charges.

CEO
Kevin Welch
Founded
2017
FDD year
2025
States available
7

Item 7 · what it costs

The Vitals

Total investment
$39K – $82K
All-in to open one unit
Liquid capital
$3K – $15K
Cash you must have on hand
Franchise fee
$30K
Royalty
5.0%
Gross Revenue · typical 6–8%
Ad fund
2.3%
typical 3–5%
Total fee load
7.3%
vs 9–13% typical

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

Total units
11
Opened
4
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
2
Corporate units in the system
% franchised
82%
vs corporate-owned
Net growth (yr3)
+80.0%
Net unit change last year
3-yr CAGR
+80.0%
Compounded over last 3 years
2023
9+4
Franchised units
2024
5
Franchised units
2025
5
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 9 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 9 states
Not registered

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

62
Risk · 0-100
MODERATE62 / 100

Early-stage payroll/HR micro-franchise with critical transparency gaps (no Item 19, going concern issues) and unprotected territory, making financial viability assessment impossible and scalability uncertain.

Score breakdown · what drove the 62 / 100 rating

  1. 01MINORNo Item 19 financial disclosure (revenue/net income) makes ROI validation impossible
  2. 02HIGHGoing Concern = FALSE indicates potential financial instability at franchisor level
  3. 03MINOROnly 11 units with 80% YoY growth is still a micro-franchise with unproven model
  4. 04MINORUnprotected territory creates direct competition risk from other franchisees
  5. 05MEDHigh initial investment ($38.5K-$82.4K) relative to unit count suggests limited proven demand
  6. 06MED5% royalty on undisclosed revenue makes cost-benefit analysis impossible
  7. 07MINOREarly-stage franchise (likely <5 years old) with minimal operational history

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Colorado

Item 11

Training & Operations

Classroom training
56 hrs
On-the-job training
0 hrs
POS system
Journey Central
Operating tech stack

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

13 numbers

Locked
(212) 416-••••
NY
(503) 483-••••
OR
(808) 586-••••
HI

One-time purchase · CSV download · Validation questions included

FDD download

Journey Payroll & HR · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above