Paul Davis Restoration
Bottom line
- Total investment $299K – $805K including a $65K franchise fee, 4.0% ongoing royalty.
- Average unit revenue of $4.8M/year (median $3.0M).
- Rated STRONG with a risk score of 41/100. SBA loan default rate of 0.0% across 223 loans (below the industry average).
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
Item 1 · who you're contracting with
The Franchisor
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 Paul Davis Restoration unit return on the cash you put in?
Unlevered ROIC · per unit
95%
Above typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Paul Davis Restoration units return on equity?
Equity IRR · 5-yr
24.9%
3.04× MOIC
Year-1 DSCR
3.40×
EBITDA ÷ debt service
Equity required
$19.5M
on $35.1M purchase
Total debt
$15.5M
SBA $5.0M + senior + seller note
Overview
About
Franchisees operate water damage restoration, fire damage cleanup, and mold remediation services. Day-to-day activities include emergency response dispatch, on-site assessment and mitigation work, customer communication, insurance claim coordination, and crew management. Most revenue derives from property damage claims processed through insurance carriers.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Paul Davis presents moderate-to-caution risk: substantial revenue scale but absent profitability data, unprotected territories, sluggish unit growth, and unusual zero franchise fee structure obscure true franchisee economics.
Score breakdown · what drove the 41 / 100 rating
- 01MEDNo average net income disclosed in FDD Item 19 — impossible to assess actual profitability despite $4.8M avg revenue claim
- 02MINORUnprotected territory creates direct competition risk; other franchisees can operate in your service area
- 03MINORSlow unit growth of 4.1% YoY suggests market saturation or franchisee satisfaction issues in a mature 277-unit system
- 04MINORWide investment range ($298K–$804K) indicates high variance in startup costs and unclear ROI predictability
- 05MINOR$0 franchise fee is unusual and may signal low brand demand or financial pressure to recruit franchisees
- 06MINOR5-year term is relatively short; rebuilding customer base after term end is high-risk in service business
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
77 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Paul Davis Restoration · FDD (2026) PDF