NHance Franchise Cost, Revenue & Review 2026
- Investment
- $73K – $194K
- Disclosed sales
- $625K
- gross sales, not profit
- SBA charge-off
- Under 10 loans (5)
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
N-Hance is a home-services franchise that refinishes wood cabinets and floors with a faster, lower-mess process than replacement. Franchisees run a crew-based operation handling in-home consultations, refinishing jobs, and scheduling in a territory.
FranchiseVerdict summary · 2026
A NHance franchise requires a total initial investment of $73K – $194K, including a $23K – $39K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average revenue per franchisee was $625K. This franchisor reports Item 19 per franchisee rather than per outlet, so the figure is not comparable with per-outlet averages[2]. FranchiseVerdict grade: B (Above 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: low - issued within the last 12 months
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 scored5 of 6 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $73K – $194K
- 16th pct Home Services
- Avg gross sales
- $625K
- Per franchisee, not per outlet
- Royalty
- 6.0%
- 21st pct Home Services
- Units
- 209
- 75th pct Home Services
- SBA charge-off
- N/A
Quick verdict · Home Services · color = vs category peers
Green = favorable by >10% vs Home 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 $73K – $194K including a $23K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage revenue per franchisee of $625K/year. Averaged per franchisee, not per outlet - not comparable with per-outlet figures.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better).
- GROWTHNegative: net -46 franchised outlets in the latest year (3 opened, 49 closed) (Item 20).
- FLAG26 units terminated last reporting year (12.4% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- NHance, Inc.
- Parent company
- BFG Holdco, Inc.
- FDD Item 1, page 8 of the 2026 FDD
- Ultimate parent
- BELFOR Holdings, Inc.
- FDD Item 1, page 8 of the 2026 FDD
- CEO title
- President
- Christopher Seman
- Incorporated in
- DE
- HQ
- 5405 Data Ct., Ann Arbor, MI 48108
- Auditor
- BFG Holdco, Inc. (affiliate guarantor, consolidated audited financials)
- Audited financials
- Franchisor revenue
- $30.1M
- vs $29.5M prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- of BFG Holdco is BELFOR Franchise Group
- BFG Holdco
Other brands the franchisor or its parent operates (Item 1).
Same owner · FDD Item 1, page 8
11 other brands on this site name BELFOR Holdings, Inc. as parent or ultimate parent in their own FDD.
- BLUE KANGAROO PACKOUTZA
- COOL BINZB
- Chem-DryC
- Clear Pest ProsB
- DUCTZA
- HOODZA
- Helpful HeroesC
- JUNKCO+B
- THE PATCH BOYSB
- Z PLUMBERZA
- redbox+B
Portfolio: BELFOR Franchise Group
Grouped by the owner's name as each filing prints it (this page: the 2026 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
- Christopher Seman
- Headquarters
- MI
- Founded
- 2012
- FDD year
- 2026
- States available
- 38
Can you afford it, and what does the money buy?
Entry cost runs 21% below the typical home services franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial License Feenot refundable | $23K | $39K | |
| Initial Package | $41K | $49K | |
| Tools and Other Equipment | $373 | $845 | |
| Business Vehicle | $0 | $60K | |
| Three Month's Rent | $0 | $8K | |
| Telephone and Business License | $400 | $4K | |
| Travel Expenses While Attending Training (if applicable) | $1K | $4K | |
| Insurance | $600 | $6K | |
| Additional Funds - 3 months | $3K | $12K | |
| Computer System | $0 | $2K | |
| Advertising - 3 months | $3K | $5K | |
| Permits and Licenses | $700 | $5K | |
| Total initial investment | $73K | $194K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $73K – $194K
- Top 40% of category vs category
- Liquid capital req'd
- $3K – $12K
- Top 40% of category vs category
- Franchise fee
- $23K – $39K
- Top 40% of category vs category
- Royalty
- 6.0%
- Set by a formula · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $349 |
| Transfer fee | $10K |
| Renewal fee | $3K |
| Inventory (initial) | $41K – $49K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales land near the home services norm.
Averaged per franchisee, not per outlet - not comparable with per-outlet figures
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for NHance until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
Total invested capital · disclosed
$140K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one NHance 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 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.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
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: 2026 FDD
Financial Performance
Averaged per franchisee, not per outlet - not comparable with per-outlet figures
- Avg gross sales
- $625K
- Per franchisee, per year — not per outlet
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross revenue by quartile
- Sample size
- 67 franchisees
- vs category median 32 · large
- Quartile band
- $189K→$1.4M
- Bottom 25% → top 25%, per franchisee
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 319 Home Services brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
The average franchisee generates $625K/year in gross sales.
Fee burden
Total ongoing fee load of 8.0% (near the Home Services median).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System contracting at -27.7% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Home Services medians
How NHance Compares
Per franchisee, not per outlet - the category median is per-outlet only, so no comparison is shown
Category median of published Home 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 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 209
- Opened
- 3
- Last reporting year
- Closed
- 49
- Terminated
- 26
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 22
- Term expired, not renewed (per Item 20)
- Turnover rate
- 23.4%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -27.7%
- Net unit change over 3 years
- 3-yr CAGR
- -27.7%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 26
- Not renewed
- 22
- Transferred
- 10
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 11
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 38 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
38
states with franchisees (per FDD Item 12)
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 5 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 5
- Loan volume
- $4.8M
- Median loan
- $125K
- 50th percentile
- Charge-off rate
- Under 10 loans (5)
- Insufficient SBA coverage: 5 loans, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (5)
- 5-yr charge-off
- Under 10 loans (5)
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
NHance presents a CAUTION-level risk profile: a declining franchise system with active litigation, undisclosed profitability metrics, and questionable franchisee support dynamics that warrant deep due diligence before commitment.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
3 prior actions: (1) NHance v. Amore Contract Services – breach of contract for unpaid royalties, awarded $193,672.71 (May 2025); (2) Torok v. NHance – franchisee claims of misrepresentation, settled April 2019 with $78,000 payment to franchisee; (3) NHance v. Finishline Cabinets – trade secrets/unfair competition, settled July 2024 for $2,000 payment to NHance.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · BFG Holdco, Inc. (affiliate guarantor, consolidated audited financials)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21 financial statements are the audited consolidated statements of affiliate BFG Holdco, Inc. (formerly HRI Holdings, Inc.) and its subsidiaries (including franchisor NHI), not of the franchisor alone. BFG Holdco guarantees the franchisor's performance. Figures stated in thousands; 2023 statements audited by predecessor auditors. Net Income 2025 was $45K after net operating losses driven by prior-year goodwill impairments.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 56 / 100 verdict
- 01HIGHMultiple litigations: Three separate legal actions (unpaid royalties, misrepresentation claims, IP violations) suggest compliance issues, franchisor-franchisee friction, and possible quality control gaps
- 02MINORHigh royalty floor: 6% minimum royalty on declining revenue base increases franchisee burden during economic downturns or slow periods
- 03HIGHLitigation pattern: Mix of franchisor enforcement (Amore, Finishline) and franchisee complaints (Torok misrepresentation) suggests systemic relationship issues
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 250,000 |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Ann Arbor, MI |
| Jury trial waiver | Yes |
| Governing law | MI |
| Litigation count | 3 |
View Item 3 litigation summary
3 prior actions: (1) NHance v. Amore Contract Services – breach of contract for unpaid royalties, awarded $193,672.71 (May 2025); (2) Torok v. NHance – franchisee claims of misrepresentation, settled April 2019 with $78,000 payment to franchisee; (3) NHance v. Finishline Cabinets – trade secrets/unfair competition, settled July 2024 for $2,000 payment to NHance.
Items 10, 11
Training & Operations
- Classroom training
- 21 hrs
- On-the-job training
- 43 hrs
- Training location
- Ann Arbor, MI (NHI facilities) or Logan, UT
- Ongoing training
- Required
- Time to open
- 1 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- QuickBooks Online
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks Online
Item 20 · call current owners
Franchisee Contacts
109 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 NHance franchise?
The total investment to open a NHance franchise ranges from $73K – $194K, with an initial franchise fee of $23K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do NHance franchise owners earn?
According to Item 19 of the NHance FDD, the average gross sales per unit is $625K. Important context: Averaged per franchisee, not per outlet - not comparable with per-outlet figures. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns NHance?
NHance is franchised by NHance, Inc.. Its parent company is BFG Holdco, Inc.. The ultimate parent named in the FDD is BELFOR Holdings, Inc.. Source: FDD Item 1, 2026 filing.
What is Item 19 in the NHance 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 NHance FDD and qualifies whose outlets they describe.
What is NHance's franchise failure rate?
SBA 7(a) loan charge-off data is not available for NHance (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 NHance franchise locations are there?
As of their most recent FDD filing, NHance has 209 total units in the United States, including 209 franchised units and 0 company-owned units. 3 new units were opened in the latest reporting year.
Is NHance a good franchise to buy?
FranchiseVerdict rates NHance as a B-grade franchise with a verdict score of 56 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
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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.