Network Lead Exchange Franchise Cost, Revenue & Review 2026
- Investment
- $12K – $25K
- Disclosed sales
- not disclosed
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Network Lead Exchange is a business networking franchise running local groups where member businesses share referrals and leads. Franchisees organize and manage chapters, recruiting members and facilitating lead exchanges for membership revenue.
FranchiseVerdict summary · 2026
A Network Lead Exchange franchise requires a total initial investment of $12K – $25K, including a $10K franchise fee and an ongoing 15.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: high - issued more than two years ago
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 5 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $12K – $25K
- 4th pct Business Serv…
- Avg gross sales
- N/A
- Royalty
- 15.0%
- 48th pct Business Serv…
- Units
- 36
- 31st pct Business Serv…
- SBA charge-off
- N/A
Quick verdict · Business Services · color = vs category peers
Green = favorable by >10% vs Business Services median · 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 $12K – $25K including a $10K franchise fee, 15.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict D (Below average), verdict score 34/100 (higher is better).
- GROWTHPositive: net +10 franchised outlets in the latest year (12 opened, 2 closed) (Item 20).
- FLAGItem 4 discloses a bankruptcy of an officer or of a company an officer ran, not of the franchisor. Review Item 4 for details.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Network Lead Exchange, LLC
- Parent company
- UFG Holdings Group, LLC
- FDD Item 1, page 8 of the 2022 FDD
- CEO title
- Chief Executive Officer
- Ray Titus
- Incorporated in
- FL
- HQ
- 2121 Vista Parkway, West Palm Beach, Florida 33411
- Auditor
- Milbery & Kesselman, CPAs, LLC
- Audited financials
- Franchisor revenue
- $271K
- vs $228K prior year
Same owner · FDD Item 1, page 8
1 other brand on this site name UFG Holdings Group, LLC as parent or ultimate parent in their own FDD.
Grouped by the owner's name as each filing prints it (this page: the 2022 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Ray Titus
- Headquarters
- FL
- Founded
- 2018
- FDD year
- 2022
- States available
- 9
Can you afford it, and what does the money buy?
Entry cost runs 86% below the typical business services franchise.
Source: FDD 2022 · Items 5–7
FDD Item 7 · 2022 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $10K | $10K |
| Working capital (3–6 mo) | $0 | $500 |
| Equipment, build-out, other | $3K | $15K |
| Total initial investment | $12K | $25K |
Source: Network Lead Exchange 2022 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
- $12K – $25K
- Top 40% of category vs category
- Liquid capital req'd
- $0 – $500
- Top 40% of category vs category
- Franchise fee
- $10K – $10K
- Top 40% of category vs category
- Royalty
- 15.0%
- Set by a formula · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 61.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 15.0% of gross sales |
| Marketing / ad fund | 1.0% |
| Technology fee | $45 |
| Transfer fee | $3K |
| Renewal fee | $3K |
| Total fee load | 61.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Network Lead Exchange makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Network Lead Exchange unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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: 2022 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 61.0% — above the Business Services median of 9.0%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System expanding at 111.8% CAGR over 3 years across 36 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 medians
How Network Lead Exchange Compares
Category median of published Business Services brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2022 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 36
- Opened
- 12
- Last reporting year
- Closed
- 2
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 5.6%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +111.8%
- Net unit change over 3 years
- 3-yr CAGR
- +111.8%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 2
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 16 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.
Where the owners are · Item 20 owner list
43 current owners across 16 states.
- FL 15
- TX 5
- NJ 4
- CO 3
- GA 2
- IL 2
- MA 2
- SC 2
- AL 1
- IN 1
- MD 1
- MI 1
- +4 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
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.
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
Undisclosed financial performance, affiliate litigation history, and aggressive royalty structures create meaningful risk in a small, unproven lead-generation system.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
Four disclosed actions, all relating to affiliates: (1) FTC v. Minuteman Press/Speedy Sign-A-Rama (1993/1998 injunction re Signarama); (2) Maryland consent order re Signarama (1996); (3) California DFPI consent order re TGG (2021); (4) California DFPI consent orders re TGG, GCZ, and UFG (2022 trade show). NLX itself has no pending, completed, or restrictive order litigation.
Bankruptcy (Item 4)
Subject: an officer. An officer’s own bankruptcy or a company an officer ran, not the franchisor’s
Sean Joseph Palmer, Regional Vice President, filed Chapter 7 bankruptcy on April 21, 2015 (Case No. 15-01601-TOM7, Northern District of Alabama). Discharge granted July 20, 2015.
Audited financials (Item 21)
Yes · Milbery & Kesselman, CPAs, LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
FY ended June 30, 2022 audited statements. Total Income $271,164 = Franchise Fees $230,060 + Royalty Fees $40,754 + Other Income $350. Note: Item 8 text cites "total revenue of $309,774," but $309,774 is actually Total Current Assets on the balance sheet (apparent FDD typo); the income statement Total Income is $271,164.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 34 / 100 verdict
- 01MEDNo Item 19 financial performance data disclosed — cannot validate the 38.5% unit growth claim or assess actual franchisee profitability
- 02HIGHParent company litigation across three affiliate brands (Signarama, Great Greek Franchising, Graze Craze) involving franchise registration and sales practice violations suggests systemic compliance issues
- 03MINORMinimum royalty structure ($100/mo → $200/mo) creates fixed overhead burden that may exceed earnings for underperforming locations, particularly in months 1-12
- 04MEDSmall system size (36 units) with no disclosed average revenue limits ability to benchmark performance and indicates limited franchisor operational maturity
- 05MINORAggressive minimum royalty escalation (100% increase by year 3) combined with 15% gross revenue royalty creates dual pressure on thin-margin lead-generation businesses
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 61.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2022 · 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 | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory sizeℹ | 2,000 to 3,000 registered businesses |
| 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 | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | West Palm Beach, Florida |
| Jury trial waiver | No |
| Governing law | FL |
| Litigation count | 4 |
View Item 3 litigation summary
Four disclosed actions, all relating to affiliates: (1) FTC v. Minuteman Press/Speedy Sign-A-Rama (1993/1998 injunction re Signarama); (2) Maryland consent order re Signarama (1996); (3) California DFPI consent order re TGG (2021); (4) California DFPI consent orders re TGG, GCZ, and UFG (2022 trade show). NLX itself has no pending, completed, or restrictive order litigation.
Items 10, 11
Training & Operations
- Classroom training
- 3 hrs
- On-the-job training
- 0 hrs
- Training location
- Virtual (initial required); West Palm Beach, FL (optional additional in-person)
- Time to open
- 1 mo
- From signing to launch
- Site selection
- Franchisee (home-based business expected)
- Franchisor financing
- Not offered
- Item 10
- POS system
- Network LEX website or online portal
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Network LEX website or online portal
Item 20 · call current owners
Franchisee Contacts
43 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Network Lead Exchange franchise?
The total investment to open a Network Lead Exchange franchise ranges from $12K – $25K, with an initial franchise fee of $10K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Network Lead Exchange franchise owners earn?
Network Lead Exchange makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Network Lead Exchange?
Network Lead Exchange is franchised by Network Lead Exchange, LLC. Its parent company is UFG Holdings Group, LLC. Source: FDD Item 1, 2022 filing.
What is Item 19 in the Network Lead Exchange 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 Network Lead Exchange FDD and qualifies whose outlets they describe.
What is Network Lead Exchange's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Network Lead Exchange (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 Network Lead Exchange franchise locations are there?
As of their most recent FDD filing, Network Lead Exchange has 36 total units in the United States, including 36 franchised units and 0 company-owned units. 12 new units were opened in the latest reporting year.
Is Network Lead Exchange a good franchise to buy?
FranchiseVerdict rates Network Lead Exchange as a D-grade franchise with a verdict score of 34 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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?
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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.