North Central InsulationFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A North Central Insulation franchise requires a total initial investment of $87K – $170K, including a $40K franchise fee and an ongoing 2.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $87K – $170K
- 25th pct Home Services
- Avg gross sales
- N/A
- 54th pct Home Services
- Royalty
- 2.0%
- 1st pct Home Services
- Units
- 7
- 15th pct Home Services
- SBA default
- N/A
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services 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
Started franchising in 2025. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $87K – $170K including a $40K franchise fee, 2.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict A (Top Quintile) with a risk score of 33/100.
- 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
- Independent Operators United, LLC
- Predecessor
- North Central Insulation
- Prior franchisor entity
- Incorporated in
- OH
- HQ
- 7539 State Route 13, Bellville, Ohio 44813
Affiliated brands
- North Central Insulation
- North Central Insulation of Kentucky
- North Central Insulation of Pennsylvania
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate insulation installation and sales businesses, likely selling residential and commercial insulation services (spray foam, fiberglass, mineral wool, etc.). Day-to-day work involves customer consultations, job estimation, installation crew management, and materials procurement within a protected geographic territory.
- CEO
- Rhett Dudgeon
- Headquarters
- OH
- Founded
- 2025
- FDD year
- 2025
- States available
- 0
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $40K | $40K |
| Working capital (3–6 mo) | $20K | $50K |
| Equipment, build-out, other | $27K | $80K |
| Total initial investment | $87K | $170K |
Source: North Central Insulation 2025 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
- $87K – $170K
- Better than avg vs category
- Liquid capital req'd
- $20K – $50K
- Near category avg vs category
- Franchise fee
- $40K – $40K
- Better than avg vs category
- Royalty
- 2.0%
- Gross Revenue · typical 6–8%
- Ad fund
- 0.5%
- typical 3–5%
- Total fee load
- 2.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 2.0% of gross sales |
| Marketing / ad fund | 0.5% of gross sales |
| Technology fee | $2K |
| Transfer fee | $15K |
| Renewal fee | $0 |
| Total fee load | 2.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Home Services averages
How North Central Insulation Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 7
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 7
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
- Net growth (yr3)
- +16.7%
- Net unit change last year
3-year detail · Item 20
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 75
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
North Central Insulation presents elevated risk due to missing financial disclosures, micro-franchise scale, unknown growth metrics, and franchisor going-concern questions.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $40,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 33 / 100 rating
- 01MEDNo average revenue or net income disclosed in FDD (Item 19 missing or incomplete) — impossible to validate ROI claims
- 02MEDExtremely small franchise system with only 7 units — high concentration risk and limited peer support network
- 03MINORUnknown unit growth trajectory — no disclosure of openings/closures suggests stagnation or contraction
- 04HIGHGoing Concern status is False — indicates potential financial instability at franchisor level
- 05MINORRoyalty structure heavily favors franchisor — $800/month floor means even low-revenue locations subsidize system
- 06MINORHigh initial investment ($87,450–$170,000) relative to system size and lack of performance data
- 07MINOR5-year term is relatively short for insulation contracting business with slow customer acquisition
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 |
| Allowed renewalsℹ | 1 |
| Territory type | Population-based |
| 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 | 30 days |
| Mandatory arbitration | Yes |
| Governing law | Ohio |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 30 hrs
- On-the-job training
- 115 hrs
- Training location
- On-site and corporate
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
North Central Insulation · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a North Central Insulation franchise?
The total investment to open a North Central Insulation franchise ranges from $87K – $170K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do North Central Insulation franchise owners earn?
North Central Insulation does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is North Central Insulation's franchise failure rate?
SBA 7(a) loan charge-off data is not available for North Central Insulation (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 North Central Insulation franchise locations are there?
As of their most recent FDD filing, North Central Insulation has 7 total units in the United States, including 0 franchised units and 7 company-owned units.
Is North Central Insulation a good franchise to buy?
FranchiseVerdict rates North Central Insulation as a A-grade franchise with a risk score of 33 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.