Neat MethodFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Neat Method franchise requires a total initial investment of $38K – $45K, including a $30K franchise fee. Per the 2025 FDD, average unit revenue was $163K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $38K – $45K
- 2nd pct Automotive
- Avg gross sales
- $163K
- 1st pct Automotive
- Royalty
- N/A
- Units
- 94
- 22nd pct Automotive
- SBA default
- N/A
Quick verdict · Automotive · color = vs category peers
Green = >15% above Automotive avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 4.0x in gross revenue, well above the typical 1.5-2.5x range.
Franchised units fell from 94 to 90 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $38K – $45K including a $30K franchise fee.
- Average unit revenue of $163K/year (median $134K).
- Verdict A (Top Quintile) with a risk score of 31/100.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- NM Franchise Operations, LLC
- Parent company
- Neat Method Strategies Holdings, LLC
- Incorporated in
- DE
- HQ
- 8 White Birch, Littleton, Colorado 80127
- Auditor
- Lenahan, Smith and Bargiachi, P.C.
- Audited financials
- Franchisor revenue
- $8.2M
- vs $8.3M prior year
Overview
About
Neat Method franchisees operate professional home organization and decluttering services, working directly with residential clients to design and implement storage solutions, organize spaces, and provide consulting. Franchisees manage client acquisition, scheduling, on-site service delivery, and team management, likely combining hands-on organizing work with business operations.
- CEO
- Ashley Murphy
- Headquarters
- CO
- Founded
- 2017
- FDD year
- 2025
- States available
- 34
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $2K | $3K |
| Equipment, build-out, other | $6K | $12K |
| Total initial investment | $38K | $45K |
Source: Neat Method 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$28K
17.0% margin
Unlevered ROIC
64%
EBITDA / total invested capital
Payback
19 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $38K – $45K
- Better than avg vs category
- Liquid capital req'd
- $2K – $3K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- Varies based on Tier and Service Revenue targets (8% to 20%)
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $250 |
| Transfer fee | $33K |
| Renewal fee | $5K |
| Total fee load | 10.0% of rev |
Financial Performance
- Avg gross sales
- $163K
- Per unit, per year
- Median gross sales
- $134K
- Item 19 type
- Gross Service Revenue
- Sample size
- 81 units
- vs category median 70
- Range (low → high)
- $15K→$600K
- Cohort dispersion (min → max)
- Transparency
- 4 / 5
- vs category median 4 / 5 · typical
Compared against 221 Automotive brands
vs Automotive averages
How Neat Method Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 94
- Opened
- 7
- Last reporting year
- Closed
- 6
- Turnover rate
- 6.4%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +4.4%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 6
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 12 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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Neat Method presents moderate-to-cautious risk due to missing profitability data, regulatory compliance history, opaque fee structures, and uncertain system growth metrics.
Audited financials (Item 21)
Yes · Lenahan, Smith and Bargiachi, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 31 / 100 rating
- 01MEDNo Item 19 (Average Net Income) disclosed — impossible to validate the $163,424 average revenue claim or actual profitability
- 02MINORRegulatory violation in 2018 (Washington State Consent Order) indicates compliance weaknesses in franchise sales and disclosure practices
- 03MINORWide royalty range (8-20%) based on opaque tier/revenue targets creates uncertainty about true cost structure and franchisee profitability at different performance levels
- 04MINOROnly 94 units with unknown growth trajectory — system size unclear; no disclosure of unit closures or attrition rates
- 05MINORHigh royalty ceiling (20%) combined with unknown net income makes ROI on $37,500-$44,500 investment difficult to assess
- 06MINOR5-year term is relatively short; renewal risk and unit economics post-year-5 unknown
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Territory type | Designated geographic area |
| Protected territory | Yes |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 15 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Colorado |
| Litigation count | 1 |
Items 10, 11
Training & Operations
- Classroom training
- 28 hrs
- On-the-job training
- 16 hrs
- POS system
- Designated CRM software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Designated CRM software
Item 20 · call current owners
Franchisee Contacts
13 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Neat Method · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Neat Method franchise?
The total investment to open a Neat Method franchise ranges from $38K – $45K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Neat Method franchise owners earn?
According to Item 19 of the Neat Method FDD, the average gross sales per unit is $163K. The median is $134K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Neat Method's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Neat Method (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 Neat Method franchise locations are there?
As of their most recent FDD filing, Neat Method has 94 total units in the United States, including 94 franchised units and 0 company-owned units. 7 new units were opened in the latest reporting year.
Is Neat Method a good franchise to buy?
FranchiseVerdict rates Neat Method as a A-grade franchise with a risk score of 31 out of 100, 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.
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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.